Recently Matt has been venturing into the area of “oversold” stocks.  What he calls his “MM Trade Ideas.”  He makes sure these picks are very liquid, meaning they are easy to sell.   His goal is to make at least a 10% return on these picks.  The catch is that you need to use a lot of capital to make that percentage on these picks.  And, these stocks are usually stocks that have reacted to bad news.

In the last week or two Matt has played 3 stocks, for his members, that were all winners.  They were not pink sheet/otcbb picks.  It took 3 trading days or less for them to become winning trades.  They were:

MWA Chart (Aug 12 alert, Aug 16 exit)

COCO Chart (Aug 16 late afternoon alert, exit 2 days later)

BPI Chart (Aug 17 late afternoon alert, exit 1 day later)

Matt alerted his members to the fact that BPI (for profit college) might be a long term hold since they passed Obama’s student loan repayment threshold.

With this new trading strategy you need to have at least $3000 in your trading account.  You should be prepared to  be content with  only getting a 10% return in a few days of trading.  I  say be prepared to be content because a lot of microcap traders are hooked on the thrill of much larger returns in less time.   But it’s always healthier to diversify your trading and this is just another way of doing things that makes microcap millionaires the best penny stock picking service out there.  Diversification.

If you want a higher return and don’t have that much in your account to trade the MM Trade Ideas then you can just stick with Microcap Millionaires regular penny stock trading picks.

Using about $4500 for the trade you could have made around a quick $600.  Now that is not the kind of bazillion percent gain that paid pumpers probably claimed you would make if you followed them (you know, the kind they fill up your inbox with).  But this was a good solid, honest gain that quickly took advantage of the overall bearish conditions of the stock market.

If you are the type of trader that has never shorted a stock that’s O.K.   Matt Morris always lays out the instructions on how to complete the trade.   He always assumes that you don’t know anything about trading.   And even though you might know a lot, it is a bonus that he doesn’t assume that you do.  Because even if you are experienced you can sometimes have lapses in attention or have a bad day and it’s nice to know that there is someone there keeping you straight and looking out for your best trading interests.

There are a lot of members in Microcap Millionaires that are not experienced.  So if that sounds like you then MM is a good place for you to be to make money in the stock market.

Most of the trades are short term picks so you cash in on those short term momentum swings.   Not all of them will be shorts though.  And not all of them will be quick trades.  After the SCSS trade Matt came up with a stock trade that had a nice 50% jump but it took a few days.

If you want to get in on Matt’s MM trade Idea visit his site for micro caps and also get three free trades.

SCSS chart for the day this trade took place.