Cheap stocks on the market offer greater profit potential but at the same time more risk. This is because it takes a great deal less outside trading influence to directly affect the price of a cheap/penny stock versus a greater priced stock. Many day traders make it their sole purpose in life to be able to differentiate between good cheap stocks on the market and the bad, so here is how you can do just that without having a great deal of experience or time to devote to analytics.

Many traders are beginning to turn to analytical stock programs to do the research for them so they can focus on actually investing and tracking their investment's progresses. These programs are becoming the most reliable way to anticipate market data because of how they work to detect behavior.

This technology largely relies on a method known as stock behavioral comparison. How this works is you find a current stock which is exhibiting behavior which is similar to a well performing stock of the past to get an idea of exactly how that current stock is going to perform. Stock behavior is very specific and unique, so whenever you find strong similarities and overlaps between the behavior of two different stocks, you can use that to know exactly what to expect.

As effective as this technology is for anticipating the behavior of cheap stocks on the market's behavior, interestingly enough only a small handful of programs exclusively target cheap stocks on the market. If you are interested in lower-priced stocks, I recommend getting a solely penny stock focused program because it's a different system anticipating cheap market behavior versus greater priced stocks.

Programs like Day Trading Robot and Penny Stock Prophet are adept at anticipating penny stock behavior so that you'll see appreciations of more than doubling in value in the short-term.