Chinese penny stocks have seen their share of ups and downs in the last year. You see many Chinese companies went public knowing the American public would bite. After going public many of these company’s share prices dropped significantly adding to the pool of penny stocks. The point here is to show that Chinese penny stocks are no better than American penny stocks except when there seems to be a lot of hype surrounding them. Then they are good for a quick profit.

There has been an extreme amount of hype in recent years leading to overvalued Chinese stocks. Yes China is a fast growing economy but they have been growing fast for years, not just recently. So profit from the hype if you can but be careful not to bet it all on Chinese penny stocks or think they are a sure thing.