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If I was to pick an investment type that was often overlooked by traders, it would have to be penny stocks. Unlike some other types of stocks, we rarely get to hear about them.

While many traders would like to get stocks of well known companies such as Microsoft, hundreds of penny stocks are ready to skyrocket.

Another important fact that many people have forgotten is that a great number of large stocks have started as penny stocks. This article will show you a place where you can find which penny stocks you should buy.

I was very happy to come across a site called MicroCapMillionaires.com. The site provides a stock signal service that only shows penny stocks. You can also read some free penny stocks advice on their site.

Before discovering this service, I was active in the stock market for approximately 6 years. Most of my investments were large cap stocks. These felt like they were a lot safer for me. I was really excited if I could manage to make a return on investment of 5 to 8% a year.

Now that I take a look back at my trading from a few years ago, I realized that I could have gotten that kind of return elsewhere, say from mutual funds. I really wasn't making the kind of profit that I wanted to make.

Furthermore, blue-chip stocks are not necessarily safer than other stock types. By seeing large scale financial meltdowns of companies such as Enron, I am sure you could agree with this fact.

Thankfully, a fellow trader of mine showed me Mid Cap Millionaires.

As I had lost money in the past, I was not too sure about the concept of trading penny stocks. However, when I saw their website, I was indeed quite impressed. It was packed with informational videos and showed examples of how actual trades went. I also saw that the site only cost $49 a month to join.

This was way cheaper than other stock signal site that I have seen, which often charged hundreds of dollars more. MicroCapMillionaires also had a 100% money back guarantee.

I figured that I wouldn't have much to lose by joining the site, so I did. I tried it out to see if I can make profit from their signals and would stick with it if I did.

The signals that they give you show the exact entry and exit prices. While I did lose out on some trades, there were a lot more trades that went remarkably well, some making profits of over 80%, sometimes all in one day.

This is why when you trade penny stocks, you have a huge potential for growth and an unbelievable amount of leverage. You don't need to have a lot of money to invest either.

The free penny stocks videos on the site will show you that even if you had about $1000 to invest, you would still be able to make very large profits that would be hard to achieve with any other kind of stock. How is that possible?

Well let's say that you bought a stock that sells at $50 per share. If your goal was to make a 50% return on your investment, the stock would have to go up to $75 for this to happen. While this has happened in the past, it still remains a relatively rare event and in any case would take a large amount of time before it happened.

On the other hand, if you bought a penny stock at $0.20 a share, all that would be needed to make a 50% profit would be for the stock to go up to $0.30.

To find out more about this great service, click here.