Penny stocks are for people who want to get rich fast.
They are penny stocks for a reason.
No knowlgeable investor/trader should be investing in penny stocks.
No one with any sense would invest in penny stocks since by all standards they are not considered investment vehicles, so the only ones that would invest are fools.
The government discourages broker/dealers and other financial firms from dealing in penny stocks. Most B/Ds are prohibited from recommending penny stocks to the general public.
Penny stocks do not trade in a regulated markets nor do they clear transactions in an ordinary manner.
Professional traders/investors do not touch these things nor do they participate in the penny stock markets.
Experienced traders/investors on are willing to occasionally "take a shot" at a penny stock but don't usually touch them.
So, the only traders/investors left to deal in penny stocks are fools and Newbies, Newbies will deal in anything since they know nothing about the markets and what is going on in such markets. Fools will trade in anything since they never can learn.
yes, but dollar stocks are better.
= bad idea