What are some stocks like OCPNY or IVSBY?
Lucifer Asked: What are some stocks like OCPNY or IVSBY?
OCPNY and IVSBY are extremely volatile stocks, easily growing or falling 10% each day. What are some other stocks like that? (that aren't penny stocks)
Answers:
these are not stocks in the ordinary sense
they areAmerican depositary receipts (ADR)
read about them here
http://en.wikipedia.org/wiki/American_de
Personally I would never invest in these….very unpredictable and usually low volumes
http://bigcharts.marketwatch.com/advchar
Not for newbies or most traders….certainly not for me anyway
not as volatile, but look at ACH, MT, TCK or AA, for instance. go to google finance and search for stocks with a Beta of more than 1.50 or 2.00. Stocks with a Beta of more than 1 are "more volatile than the market in general" so the larger the Beta, the more volatile. You can see this volatility in the large jumps from one trading day to the next for ACH for instance.
You misunderstand what you are seeing in ADRs like OCPNY and IVSBY.
It appears to be volatility that could be traded to your advantage.It is actually illiquidity that would be a cost to you rather than a benefit.
Olympus is involved in a major accounting scandal, so it is both illiquid and volatile.
IVSBY traded only 100 shares today.When something is that illiquid, it trades at very wide bid/ask spreads.If you bought at the ask, then sold at the bid, there would be an immediate loss.It is not possible to do the opposite, so there is no way to capture the spread.
It's a bad idea for a novice investor to seek risky trades.If you still want to seek volatility despite that warning, look at some of the 3x levered ETFs or just trade options instead of stocks.
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