Penny stocks get their name from their price range, each priced between 1 cent and $5 and they are traded through the Pink Sheets or the OTC Bulletin Board. You can also trade these stocks via foreign and other securities exchanges. However, when trading penny stocks you must be aware of the rules that apply to the trade of penny stocks.The rules set down by the Securities and Exchange Commission (SEC) to help regulate the trade of penny stocks are as follows: The SEC needs the brokerage house
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