If you do a little digging around the web you can see that “James Connelly” of Penny Stock Prophet is a well known figure in the underbelly of penny stock trading. I’ll give you the rundown of what exactly it is that he offers:

• Free stock picks that he is compensated to promote
• A paid member’s only list that you can join for $97…which apparently will let you in on the picks before the free crowd

Now the point here is not to make ol’ James out to be some sort of internet bandit. He’s a stock promoter…some people gain followers by bashing stock promoters, but that’s not what I’m after here. The truth is that some stock promoters are sleazy, underhanded, stank-breathed punks. Some are a little more decent and aim to get paid for stock promotions that actually give traders more than a snowball’s chance to make a profit. So where does James fall in along those lines? I’d say he’s a decent guy…at least from being on his email list for a while that’s the impression I get. HOWEVER…….

The real question is…can you make money from his picks? I’ve only seen one of his picks go gangbusters…it was LYJN a while back. The others seem to have short runs that allow a very small window for you to buy and sell with good odds of making a buck or two. I’d have to say….STAY AWAY from Penny Stock Prophet. You will lose on 90% of his picks, and when he finally picks one that goes up for more than an hour he’ll be reminding you of it after you lose money on the next 5 picks.

The best way to tell if penny stock prophet is a scam is to look at the results of his stock picks…at least that seems like a fair test to me.

Here’s a chart of a pick from Pennystockprophet.com that is recent, which is FLPC:

And another, SAPX:

Heck, why not another? GCLL

Now……….

Are you convinced to stay away from Penny Stock Prophet? If not just join his free email list and watch the picks nosedive over the next couple of weeks.

What’s important to note is that these stock picks didn’t fail because James Connelly hit a bad streak of stock picks….it’s because there is a BLATANT conflict of interest…he is paid to promote these stocks…which causes his subscribers to buy them….then the third party that paid him dumps a bunch of shares on to the open market….which produces the sell off in his picks that you can see in all 3 charts above (GCLL just getting started).

If you want to subscribe to a penny stock picking service that does NOT have a conflict of interest and has a track record of providing quality stock picks….I suggest you check out my Microcap Millionaires review. They charge $49 a month….believe me I hate monthly bills to….but it’s worth it if you have the time to trade penny stocks. Their alerts are not too time consuming…meaning you don’t have to be a full time trader to be able to utilize the newsletter. Microcap Millionaires does a good job of breaking everything down so total newbies can get started trading stocks.