The technical indicator called Stochastics is used to determine patterns of uptrends and downtrends in a stock’s trading pattern. One other aspect of Stochastics that I would like to touch on are Stochastic Price Divergences. The above image shows an example of an Ascending Triangle Pattern that resulted in the stock eventually breaking through resistance and having a nice bullish run. The Double Bottom Pattern is formed when a stock’s price falls to a support level once, bounces off and then falls right back down to the same support level.
Penny Stocks Behind The Scenes is a very detailed trading guide which explains the methods that I use to profit from specific, short term buying opportunities in the penny stock market. The oscillation of the Stochastics shows you when a stock is nearing or within an oversold area or nearing or within an overbought area.

Well, the Stochastics Slow is usually preferred by most traders because is does not show as many false buy and sell signals. The chart clearly shows how the buyers are pushing the lows of the stock up higher and higher. Therefore, usually within a short time span, a stock hit two lows of nearly the same price. This method can potentially generate sizable profits several times per month or more if you are available to trade around the U.S. Most often the buyers win this battle and push the stock through its resistance level usually causing a nice run.
I am not going to lie to you like so-called trading guru's and tell you that you can make millions of dollars in a short period of time, because this is unrealistic and the fact of the matter is the liquidity in the penny stock market is too low for these type of profits.

What I will say is that making $5000 - $10000 a month is definitely possible if you have $2500 to $50,000 of trading capital in your brokerage account ($25,000+ is highly recommended) and are willing to take calculated risks where the probability of success is in your favor. You can also make much more if you have a larger account ($100,000+) and are willing to dedicate more time to learning my method.

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