Penny stocks are some of the most volatile acting investments to be made. They can jump in value or drop just as quickly over the course of a few hours. There is a huge profit to be made from penny stocks alone if you can differentiate between them, which is why many traders decide to use a stock picking program which differentiates between which penny stocks will go on these profitable trends in the short term.

If you don't have the time or experience to devote to analytics but are looking to supplement and diversify from your existing income, this is what to know about these programs which find which penny stocks will jump, and how you can triple your investments on them in the short term.

The first thing to know about a penny stock specific analytics program is how it works to decide which penny stocks will perform the best. These programs rely heavily on where the market has already gone to anticipate where is heading. This is effective and how the major trading houses also anticipate market behavior because the market travels in cyclical, repetitive patterns.

These programs look at the origins of well performing stocks from the past and look for overlaps in that behavior and current real time stocks. When it finds a stock which exhibit similar behavior, the program can get a very good idea of how that stock is set to act in the short-term and notify you so that you can trade accordingly.

I've been mentioning penny or cheaper stocks throughout this whole article because of their volatility. These stocks are much more prone to go on these huge leaps because it takes relatively little trading activity on the outside to send them flying because their cheaper values leave them more open to it.

Therefore, using a program which only targets these stocks to determine which penny stocks will jump and which will drop, you can make a huge profit in the short term.

The very first pick which I received from a penny stock specific analytics program is the perfect example to go along with this. The program did its part and identified a stock valued at 18 cents which it believed was set to go on a positive trend. I bought 1000 shares using my trading account online and didn't check back in on it until the end of the day when I found that it had already exceeded my expectations and sure enough had jumped to 38 cents.

I continued to check on that stock the next morning and through the afternoon regularly on the hour as it continued to climb, finally leveling off at 57 cents. That's more than triple my initial investment and this came in the span of just over about 24 hours.

The point is if you have just a few minutes a day to do the actual investing, you can profit from the best of these systems as all of the analytic work is again done for you already.