There are any number of micro stock forecasting services being marketed today which claim to numbers crunch real-time market data and produce what they maintain are profitable penny stock picks so that you, the investor, need only to make the trades as you receive the stock tips. Many of these services count on style over substance, and trade on their branding and promise of profitability figures to draw in potential clients.

One such stock alert service which focuses entirely on hot penny stocks has been raising some eyebrows lately among a certain collection of market traders while adding to its own fame with the correctness of its recommendations in recent months. Mathematics wonderkin James Connelly's Penny Stock Prophet stock picking service targets only penny stocks using a computer generated algorithm that chooses just when a stock is ready for a breakout move in the market.

According to his website's information, James cautiously investigated the markets for over two years while working on a way to be able to tell when a stock was positioned to breakout in a upward direction. He tested his theories over and over again, finally perfecting a complex set of mathematical algorithms which he used to isolate the one key statistic which told him that a stock was poised to make a big move upward.

That key statistic is known as the "psychological support level" or PSL. The PSL is not anything novel in the trading world; it examines the activity of human behavior which causes a stock to be sold at well below its actual value. But what James also discovered was that being able to find undervalued stocks is not enough. You have to be able to run across those stocks which are poised to make a breakout movement upward. That's the troublesome part which kept him working on perfecting his formula.

He combined what he discovered about the PSL with another mathematical logarithm used to predict how human behavior affects things like population growth, crime, and terrorism called psythometric science. He conjectured: Why not employ this formula to the stock market? Using all this information combined with four other variables he had uncovered, James eventually perfected a formula that helped him be able to predict a bullish trading pattern before it occurred.

It appears virtually unbelievable, but his calculations actually do work. You don't have to take my word for it, but can test out his predictions for yourself. Just apply for his free special report "Everything You Need To Know Before Investing In Micro Cap Stocks" on his website, and he will email you two free tips that you can chart for yourself. I'd not have believed it possible if I hadn't seen it with my own eyes.

What makes Connelly's procedure of investing in top penny stocks so profitable is the amount of monetary leverage that the little investor can gain by using these tips. Because you are trading in penny stocks, you don't have to risk putting up large investment amounts in order to accomplish sizable gains. For example, investing in a thousand shares of a stock at .30 cents a share (a $300 investment) which after a few trading sessions rises to .90 cents a share becomes a $600 dollar profit.

James Connelly's Penny Stock Prophet is well worth looking into if you are a stock market player endeavoring to protect your investment capital or are searching for a way to establish an income stream using penny stock investments as your platform.

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