Finding penny stocks to buy in the tech sector can be a difficult trading strategy, but these investments can also be great ways to make money in the stock market. Aggressive technology penny stocks can deliver big profits in a hurry after just a little buying pressure. It’s because of this that some of my favorite penny stocks to buy right now are tech picks including ChipMos Technologies (IMOS), iGo Inc. (IGOI), Newtek Business Services (NEWT) and Tower Semiconductor (TSEM) among others. 

Of course, that doesn’t mean your penny stock investment strategy has to be limited to tech only. Investing your money in Sirius XM (SIRI), Antares Pharma (AIS) or Dreams Inc. (DRJ) is also a good strategy according to my latest analysis of penny stocks under $2 (at least as of this morning’s market open). Let me give you a breakdown on each of these stocks and why they make my list of the top 10 penny stocks to buy right now:

• Antares Pharma – AIS focuses on self-injection pharmaceutical products and technologies and topical gel-based products. Though Antares is not yet profitable, this biotech start-up is a perfect takeover target due to its innovative drug delivery technology. This is a hot penny stock to buy.
• ChipMOS Technologies – IMOS is in the semiconductor business, providing testing and assembly  for the electronics that go into LCD and flat-panel displays. That includes not just TVs but also laptops and other gadgets. As consumer spending picks up, ChipMOS will do brisk business. ChipMOS fits into almost any investment strategy.
• Dreams Inc. – DRJ is a diamond in the rough of the retail sector. Dreams Inc. specializes in the sale of sports licensed products and memorabilia, and will see booming business as the summer recreation months merge perfectly with a bounce in consumer sentiment. This is a good penny stock investment.
• Harris Interactive – HPOL is a market research company that operates in North America, Europe, and Asia. Harris is seeing strong sales as corporations ramp up production and sales efforts, increasing demand for HPOL services. Harris is a penny stock worth investing your money in.
• iGo Inc. – IGOI designs and creates power and battery products for mobile electronic devices. Like ChipMOS, iGo will see brisk business and gadget sales increase. If your trading strategy favors small cap stocks, iGo is a great investment.
• LML Payment Systems – LMLP is a great mix of a tech stock and a retail investment. This penny stock helps manage and authenticate online sales transactions, meaning that as consumer trends improve and shoppers look for deals on the web, LMLP will be there.
• Newtek Business Services – NEWT provides business services including payment processing and check approval to merchants and businesses of small to middle size. Like LMLP, this penny stock should see a bounce as consumer spending improves.
• Tii Network Technologies – TIII is a communications stock that specializes in DSL and networking technologies. As businesses and residences ramp up their internet use in time with the broader recovery, TIII stock should benefit.
• Tower Semiconductor – TSEM is a fairly well known tech stock, but this company is trading at penny stock levels right now and is a great investment. Located in Israel, this technology company will benefit from the tech boom and rebound in consumer spending.
• Sirius XM Radio – SIRI stock was one of my hot penny stocks to buy last week, and remains on the list for the same reasons as before. It is much bigger than other companies on this list of penny stock trading strategies, so doesn’t carry the same volatility. What’s more, the boom in new car sales will lift the Sirius XM satellite radio audience.

So there you have it — my 10 favorite penny stocks to buy now. One word of warning, however: I recommend that you use limit orders whenever buying stocks that are this small. I’m not talking about the share price, of course, but rather the average volume and market cap. Just buying a few hundred — or even a few dozen — shares could send prices soaring, so if you’re going to buy any of these penny stocks I advise you set your entry price at 10 cents above the previous day’s close and don’t pay a penny more. You may have to string your purchase out over several days, but it is much better to enter at the right price in these penny stocks. Because of the low valuations, just a few cents difference can mean big profits or losses. So again, always use a limit order and under no circumstances place a market order.

As of this writing, Louis Navellier did not own any of the stocks mentioned here in personal or client portfolios.

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