Hello and welcome to Video two of the in penny stock VIP beginner module. Again, this is going to be a series of videos where I help you learn about the basics of dependent stock market and of day trading, and why it's so important that you get into this industry at this time, and how you can make money off of it. You know, there's tons of people who are making thousands, almost 10s of thousands of dollars a day in this and you know, you can do it too. It doesn't take that long. It's not that hard. If you study if you take the time to watch my videos, go through my modules, I have my intermediate and my invents advanced modules.
If you go through all the videos and you learn and you educate yourself, you know you can be like one of the traders if you go on prophet Li if you see Timothy Sykes and Superman and investors underground, sorry, those are all traders. You can Google them, I guess you can see that these guys trade and make thousands 10s of thousands of dollars a day. And it's very possible to do if you understand how to do it. And that's what I'm here for. So, you know, let's start you know, I'm just covering the basics. In this video, we're going to go over on what markets do penny stocks trade.
So as I was mentioning, in the previous video, you have to think of these penny stocks as as objects because they are there's something of value, and you trade them you buy and sell them. So if we assume that the penny stock is a share is an item, then you have to think about where you can buy and sell these items. And there's different markets for that. So we're going to go through this list. I'm on Penny stocks.org. You know, it just they just have a list of different markets so I can kind of go through them the same way they did here and you can kind of have a visual and I guess another opinion technically Right in front of you as I go through them.
So one of the most highly traded penny stock markets is the NASDAQ. And basically they are I'm pretty sure I'm sure you've heard of them or heard something about them. This is where shares need to be at least $1 or higher to trade on here. So when a penny stock is made, okay, in It usually starts trading at about a penny. Okay, Penny stocks, you know, Penny stocks are created in a different way than actual stocks are actual stocks go through something called an IPO or initial public offering. You know, the date is March 26.
Okay, today is the day that King, which is the company that made the iPhone app, Candy Crush, I'm sure you must have heard of it. Used to be a very popular game and still is for some people today. That company is going public. They're going they're doing an IPO in that case. Usually those are real stocks, we don't consider those stocks as penny stocks. First of all, because that stock is going to be traded at about, I think, I think it's like $22 or $40 or something like that when it's first offered, and so that is definitely not a penny stock.
Penny stocks are created through something called reverse mergers or reverse IPOs you don't need to really know that. A lot of there's a whole bunch of successful traders that don't even know it. It was just some side information that I wanted to give you guys. So um, but in general, I just wanted to tell you is that penny stocks usually start trading at about a cent or even less than that. So the NASDAQ is one of you know, if you think of the share as a as a item, it's one of the stores I guess, or one of the marketplaces that these shares are bought and sold, okay. So as you can see here, the shares listed here will usually be about $1 and up Okay, now, the next one is called the OTC bebe OTC bulletin board.
Okay, this is pretty much where most of the penny stocks that we will be trading and the ones that I focus on are traded not okay. They're basically stocks that are traded you know one cent penny stocks can be OTC bulletin board stocks, and they're the ones that sometimes get pumped up. Or sometimes you hear that hot penny stock tip. Usually people are talking about these OTC bebe stocks. And I guess, you know, sometimes these stocks get a bad name because of the fact that the companies that are registered here, you know, they don't have the best financials. These companies aren't profitable companies.
You know, one thing you have to understand is that in this situation, we aren't investing in these companies, okay? You're not investing long term in this company. You're trying to buy it at a certain price and sell it for a higher price. That is the goal, okay? There's something called shorting where you go the opposite way where you sell and then you buy, but you know, that's a little bit more advanced, you know, you don't have to worry about that now. And that's not even what I specialize in, even though I can do that, and I do it for profits, and I definitely you will learn in the intermediate and advanced modules of in penny stock Pro, and Penny stock VIP.
But for now, just know that these stocks that were trading and that I'm discussing, we're not looking for a long term investment, okay. We don't focus on the company. We're just focusing on the share and when the price goes up, we want to sell it. And basically by the end of these videos, you'll understand you know, kind of the basics of penny stocks and why I trade them and later on, you'll learn how we can identify how the penny stocks go up and how we can profit off of it. So OTC V, That's another common one a max American Stock Exchange that's very similar to the NASDAQ. You know, the shares that will be traded on the ASX, again are very are legitimate question companies as they have reporting requirements.
Okay, the OTC bulletin board that we were looking at before, they don't have trading, they don't require any certain, you know, reporting requirements, but the NASDAQ and the SEC this other one we're looking at American Stock Exchange do now the pretty much the last important market you have to worry about, you know, there's a few others you know, there's like the New York Stock Exchange, which is kind of like the American Stock Exchange. So it, it's on that level, you have to report on it. But basically the other ones that you need to know about are Pink Sheets. Now it's funny that they say right here and they have this little flag right here do not buy these ever. Okay? You have to understand that you need To have a proper strategy when you go and buy these pink sheet stocks, okay?
Again, it says right here, easy to buy, very difficult to sell. The reason for that is because there's no market for these penny stocks. So you don't just go in and buy any penny stock and just, you know, think that it's going to go up and down in value. No, there's some penny stocks that never get attention, you know, in this module, and in my advanced and intermediate modules, and through these watching these videos, you'll understand and know how to identify what stocks we want to trade and what stocks to look at and how to find the stocks to look at. Okay, as I probably mentioned before, and you'll probably hear me mention it a whole bunch of times, volume is very important because volume is technically the amount of shares being traded. So again, if you think about these shares of being an item, let's say you can think of them as a share.
Okay, volume is the amount of shirts so You know, you might, you can't just go in to, you know, stores don't carry just one shirt. And if they have one shirt, then it's an issue because if you, you know, you can't really have a marketplace with just one shirt, you want to have a lot of volume, you want to have a lot of shares. And a lot of volume buys and sells going on. So that you have to remember, there's two sides of this, you have to not only buy this stock, but then you have to resell it. Okay? And sometimes this is a very fast process, you know, I've made hundreds and thousands of dollars within literally seconds.
And I've done my trades under several trades, actually, and I'll teach you and you'll learn by the end of this, how you can do this and why it's actually a very effective trading strategy. But what you just do is you buy the stock, the stock goes up and you sell it. It's a very simple formula. You know, don't think it's super easy because you know, Another thing you have to understand is that 90% of traders lose money. Okay, let me repeat that 90% of traders lose money. Okay, now don't get worried, don't get afraid.
But watching these videos, you are pretty much higher than about just from watching the first and this video, you're probably up and have a higher level of knowledge than about 75% of traders because a whole bunch of people just get into penny stocks because they hear from a friend of a friend from a co worker about a hot stock that's about to shoot up, or they just buy it on a gut instinct and they have no real methodology behind their trading. Okay, through this I'm going to teach you the strategies I'm going to treat. I'm going to show you all the elements of how to do this. And in just a few weeks or months depending on how hard you study and how fast you go through my videos and how much you learn. You'll know and become a self study stainable independent and successful trader with a profitable track record.
And I'll you know, by the end of these videos, you'll do that, you know, I'm going to go through you slow with you slowly, you know, if you have any questions you can always contact me immediately to the contact form through the Ask a Question service for if you're a VIP member, you know, I'll answer it immediately. And I'll create a personal video answer tailored just for you. Because I want to help you guys. You know, I'm trying to shed light to this industry, I'm trying to destroy the misconceptions about the industry. It's made me a lot of money, and I want it I want you to be able to make a lot of money from this too. You know, don't think it's just one sided.
Of course, you know, I like learning but again, it through the VIP service, you know, that's how that's what I get out of this. Okay? And, you know, knowing that I can help you make money and you know, Maybe one day make you a successful independent trader, if you do your homework, that's what drives me. And that's what I want to do. So, you know, I hope you understand the markets that these are traded on. And understand that it's not, you know, it's easy, but it's only easy once you understand the rules and the strategies and the elements.
And that's going to take watching pretty much all of the videos not only in this beginner module, but my intermediate module, the advanced module, the tips and strategies module, there's a whole bunch of them that you need to go through, and you need to understand in order to become successful and profitable. So that's it for this video. In the next video, I'm going to go over how long it's going to become. It's going to take to become a profitable trading trader, sorry, as well as why the top traders lose money so that you get an understanding of what you're getting yourself into, and kind of how this can potentially be Future free, you know, there's people who make, like I said hundreds, thousands 10s of thousands of dollars a day, just by day trading, you know, they make it their profession. And you can do that too.
You know, if you are looking for a way to, you know, escape the nine to five, you know, technically this is a 932 four, but it's a whole different lifestyle, you know, you can trade on the go, you don't have to trade every day. All you need is a laptop to trade. So anyways, I'm going to see you in the next video, we're going to go over how to become a profitable trader how long it's going to take and why the top traders lose money. So see you there