The stock market is regulated largely by financial situations; due to this fact being aware of finance news is of major importance when you wish to enter the stock trading. The title says it all; development investment is the investment strategy of on the lookout for the massive winners in the stock market. Development traders are on the lookout for firms that traditionally have high growing earnings. In principle, high development equals high stock prices and in turn, high earnings.\n\nIt sounds cliche but your stage of success in penny stock investing depends so much on the amount of work you place into the research. Don’t get into penny stocks because you obtained a sizzling tip from a pal or read about someone making a killing in a newspaper.\n\nI’ve at all times like Philip Morris (PM stock symbol) and Altria (MO stock symbol) as they pay superb dividends. If they cannot afford the high interest rates they must sell themselves and cut price basement prices. Wal-Mart (WMT) is an efficient stock we all know.\n\nFor example you had bought a hundred shares of XYZ stock ($54,500) or a thousand shares of ABC stock ($27,000) as a substitute of buying the call options at $2,740 and $400 respectively. If XYZ and ABC stock prices both drop to $0 per share, you should have lost $54,500 and $27,000 respectively… a complete lot of money!!!\n\nYou buy a call and a put possibility contract with the same expiration date but with completely different strike prices. These contracts had been cheaper as a result of the strike value is larger than the market value for the call possibility and lower than the market value for the put possibility.