Penny stocks, as the name suggests, are shares that are available at extremely cheap rates. Being available literally for pennies, you can purchase such stocks for as low as $2 per share. These stocks are usually of very small companies, which have a market capitalization of less than $500 million. They are not traded at the major stock exchanges like NASDAQ or NYSE, but are listed in the pink sheets or the OTCBB (Over The Counter Bulletin Board), because these stocks are of …
The Basics Of Short Selling Stocks
Shorting or short selling refers to the selling of a contract, a bond or stock or a commodity that is not directly owned by the seller. When practicing short selling, a seller is committed to purchase the stock or commodity previously sold.