Buying Penny Stocks Today? What You Need to Know
With a new month of trading penny stocks and blue chips here, there is a lot for investors to know. While the stock market has been in a downward trend since the beginning of the year, investors are hopeful about the future.
[Read More] 3 Hot Trending Penny Stocks to Watch in May 2022
In April, investors saw one of the worst market performances months since the middle of the pandemic, resulting in an 8.8% drop in the S&P 500 for the month. With that in mind, let’s take a look at what you need to know about trading penny stocks today.
What You Need to Know About Trading Penny Stocks on May 2nd
While some early morning gainers like IT Tech Packaging Inc. (NYSE: ITP) and Ceragon Networks Ltd. (NASDAQ: CRNT), are in focus, the rest of the market is in the red. Both Dow and NASDAQ futures were in the red once more ahead of the opening bell with U.S. crude oil prices also falling to right around $101 per barrel.
And, with more central bank news on the horizon, we could see even greater volatility in the coming days. So, with that in mind, let’s take a look at three penny stocks that are gaining during morning trading.
3 Penny Stocks Gaining During Morning Trading
- Innoviz Technologies Ltd. (NASDAQ: INVZ)
- Better Therapeutics Inc. (NASDAQ: BTTX)
- Luokung Technology Corp. (NASDAQ: LKCO)
Innoviz Technologies Ltd. (NASDAQ: INVZ)
One of the larger morning gainers so far is INVZ stock. During morning trading, shares of INVZ managed to climb by over 11.8% to more than $4.52. At this price, INVZ is almost out of penny stocks territory. So, why is Innoviz stock climbing right now?
Well, the big news came this morning as the company announced that it was selected by a major vehicle group to provide direct LiDar systems for production vehicles. The company states that this will increase its order book to $6.6 billion from $4 billion. With this major news in mind, do you think that INVZ stock is worth buying or not?
Better Therapeutics Inc. (NASDAQ: BTTX)
With over 40% in gains during premarket trading, BTTX is another penny stock that investors are watching right now. Despite a one-month drop of over 54%, it’s clear that there is a lot of bullish sentiment toward BTTX stock right now. While there is no news from the company that is sparking this gain, it’s likely that this is the result of its recent losses.
Often, we see penny stocks climb significantly following major losses. And this can occur with or without any significant news. So, while this does show that BTTX stock is highly volatile, it could be an interesting penny stock to add to your watchlist.
Luokung Technologies Ltd. (NASDAQ: LKCO)
LKCO is a penny stock that we have discussed multiple times in the past few months. And during morning trading on May 2nd, shares of LKCO stock managed to shoot up by over 18%. This significant gain comes after Chinese tech stocks saw a major boost during trading last week.
The most recent announcement from Luokung came on April 28th when it announced the launch of its holographic spatial-temporal product and a new service offering for natural resource monitoring. Aside from this, not much has come from the company recently to justify these gains. Regardless, LKCO stock could be worth adding to your list of penny stocks to watch.
Which Penny Stocks Are You Watching Right Now?
If you’re looking for the best penny stocks to buy in May 2022, there are hundreds of options to choose from. But, because of the sheer number of events going on in May and the recent bearish market momentum, investors need to be careful and have a fun understanding of their trading strategy. With all of that in mind, which penny stocks are you watching right now?