Blue Horseshoe Stocks: MKHD Recap & More

Mount Knowledge Holdings, Inc. MKHD

MKHD was a stock that we had to tag yesterday after noticing the company’s big announcement on our premarket news scanner that it would be acquiring 100% of cyber-security firm Civenergy, Inc., which did $35M in revenues in 2013.

We were anxious to see how the news would affect this low-float stock, and on 9x the average volume, it traded in a range from .042-.085, an intraday spike equaling 102%

We’re going to leave this play on our watchlist, at least until we receive further updates on the acquisition.

MKHD is also receiving a rare “100% Buy” Rating at BARCHART.COM


Terra Tech Corp. TRTC

Also among our interests from yesterday, and indeed the past couple of sessions, was TRTC. We re-flagged this play on Friday at a low of .25, and have witnessed a solid two-day uptrend since then. After seeing a low of .3060 yesterday, the stock would run into the close, ending the day at its high of .37.

That marked a 21% intraday gain, and an increase of 48% over our observed low on Friday.


dELiA*s, Inc. DLIA

DLIA is appearing this morning as a possible bottom-play. The stock is gapping up this morning, and there seems to be a gap to fill on the chart roughly to the 50DMA of .46. Per a PR out this morning, DLIA is “considering a possible sale, merger or ‘other form of business combination‘”, so this is another one that we want to continue to follow as a potential story plays out.


Extended Watchlist:
CNET, CPRX, WYY, SPEX, NXTD

Blue Horseshoe Stocks: TRTC, RPRX Recaps & MKHD


Mount Knowledge Holdings, Inc. MKHD

MKHD is one that we want to flag this morning after our news scanner picked up an intriguing PR that just hit the wires. Apparently the company has moved to acquire cyber-security firm Civergy, Inc, which apparently generated revenue in excess of $35M last year.

It’s going to be interesting to see how this stock, which is unaccustomed to heavy trading, responds to this significant development.

NEW YORK, NY–(Marketwired – September 29, 2014) – Mount Knowledge Holdings, Inc. (MKHD), a software development and sales company focused on providing innovative technology solutions announced today that it has entered into a definitive agreement to acquire 100% of Civergy, Inc, >>> VIEW PR


Terra Tech Corp. TRTC

Among the cannabis plays that we were watching for a resurgence on Friday was TRTC, which put forth a significantly fruitful session as the stock came out of the gate at .25 and ran up as high as .33 on volume exceeding twice the 3-month average.

That move was good for intraday gains of up to 32% and marked the fourth consecutive day that TRTC registered both higher lows and higher highs. It leaves the stock firmly near the top of our marijuana watchlist which is certain to garner more attention as we approach voting season.


Repros Therapeutics, Inc. RPRX

We also saw a nice pop out of RPRX, which appeared in Friday’s extended watchlist, and would go on to post a solid performance on the day. After trading as low as 9.23, we witnessed a run to 11.18, a bullish move of 21% on just a shade under four times its 3-month average volume.

It’s a good signal that after the recent beatdown of the stock from the $14+ range that we’re seeing a turnaround, so we’ll definitely have RPRX on our radar going forward.


Extended Watchlist:
ECYT, EXEL, ALIM, AMBI, HEB

Blue Horseshoe Stocks: Cannabis Stock Resurgence

Marijuana Stocks Making a Comeback

The biggest standout of yesterday’s session was the unmistakable resurgence of the cannabis sector. Many of you will recall that we have tracked this sector throughout the year, and indeed, dating much further back than that. The gains we’ve seen from this market in 2014 have been nothing short of historical. Over the past few months, however, we had been witnessing a huge beatback sector-wide, with pot plays steadily declining across the board.

You can see below from the random chart examples we’ve pulled, that similar action has been occuring in most every related stock. Familiar plays like HEMP, TRTC, and GRNH all exhibit strikingly similar paths. Steady, heavy losses followed by distinct signs of a turnaround.

Presumably the pickup we’re seeing as we head into the end into week’s end is due at least in part to campaign season kicking off for proponents of cannabis in places like Alaska, Florida, Oregon and Washington, D.C, who will all be voting on marijuana initiatives in some form or other on November 4th.

Other states are sure to be paying attention, especially those that are tight on cash. Colorado estimates that tax revenues from its first year of recreational sales stand at $60-70M. Meanwhile, Washington State’s measure roll-out of retail sales continues slowly, with only the second Seattle marijuana outlet scheduled to open up next Tuesday.  In a study conducted by NerdWallet.com, the nationwide legalization of pot would produce over $3B annually.

So here we are, having waited patiently for the marijuana space to begin to heat up again, finally seeing the kind of rebound activity that can provide us with quick in-and-out gains. We’re going to want to watch anything even remotely tied to the industry as voting time draws even closer.


Extended Watchlist:
RPRX, CNET, NAVB, DRYS, GALE

Blue Horseshoe Stocks: LPCN Recap, LPDX & More

Lipocine, Inc. LPCN

LPCN served up an opportunity at some decent intraday gains after appearing on yesterday morning’s extended watchlist.

The stock played out a classic dip and rip scenario, falling to a morning low of 6.89 before surging back in the afternoon to a subsequent high of 8.42. That offered traders a chance at intraday gains of up to 22% on plenty of liquidity- the stock would trade 23.5X its 30-day average volume.

The productive session came on the heels of the company announcing favorable results from Phase-3 clinical testing of “LPCN 1021″, its oral treatment for low testosterone >>> VIEW PR


LipoScience, Inc. LPDX

LPDX is gapping up heavily in the premarket, and the interesting story behind it is one that we’re definitely going to want to give our close attention. Early this morning, the company announced that it was the subject of a buyout that would be executed at a share price of $5.25. Barely an hour later, another PR hit the LPDX newswire, concerning an investigation of the managerial board’s handling of the deal, and whether or not they have secured the best possible buyout price.

According to the investigative firm leading the case, “The $5.25 per share acquisition price is far less than where the stock has recently traded. In fact, on January 25, 2013, LipoScience stock opened for trading at $9.75 the day the Company sold 5.0 million shares of stock in its initial public stock offering.” >>> VIEW PR

The playing out of this scenario is going to be an interesting story moving forward, which is why we wanted to flag LPDX this morning, and fill everyone in on this morning’s happenings. The possibility that the investigation could lead to a potential restructuring of the buyout is enough to have us keep our ears to the tracks on this one for the foreseeable future.


Magnum Hunter Resources Corp. MHR

MHR is another morning gapper that we’re putting on our radars. This morning Magnum announced impressive throughput volumes on its “Eureka Hunter” gas gathering pipeline. According to the CEO, “increased capacity has resulted in a record day of approximately 316,500 MMBtu of natural gas”. >>> VIEW PR


Options Trading Idea: PBR Calls 

We’re interested in the PBR October 31st $15.50 Calls  last traded at 1.88. If we can see PBR make its way back to recent $20+ highs within a month, it could put us in position to see returns of up to 150-200% on those contracts.


Extended Watchlist:
 RNN, MNKD, CNET, VHC, MPET

Blue Horseshoe Stocks: MACK, RITT, BIGG & More


Merrimack Pharmaceuticals, Inc. MACK

We’ve got MACK, a play that has been on our watchlist before, bringing itself to the forefront today as news about a licensing agreement has the stock gapping up to the tune of 20% in the premarket. We’re going to be interested to see how it comes out of the gate this morning in response to the announcement.

Baxter International Inc. (BAX) and Merrimack Pharmaceuticals, Inc. (MACK) today jointly announced an exclusive license and collaboration agreement for the development and commercialization of MM-398 >>> GO TO PR


RiT Technologies, Inc. RITT

Another gapper, RITT is also up significantly in premarket trading this morning. The stock had a strong session yesterday, trading in a range from 1.28 – 1.97 on exceedingly heavy volume; more than ten times the monthly average, so we are looking at it for potential momentum carryover into today.

Given the nature of the yesterday’s activity, we could also be looking at a possible dip-and-rip scenario as inevitable profit-taking pares back the share price.


Big Tree Group, Inc. BIGG

BIGG was actually passed along to us awhile back by one of our subscribers. (Readers should feel encouraged to share any ideas you might have with us!) Since then we’ve had the stock on the back burner, passively following along until it was ripe for the picking. We began to see some positive movement off of the bottom yesterday, so we think now could be a good time to flag this play for more intensive monitoring.


Added Note – Options Trading Idea

GTLS was the subject of a buyout rumor yesterday, which effected some upwad movement in the stock. As a result we just want to radar the October $65 Calls, which last traded at 1.50.


Extended Watchlist:
LPCN, ICLD, BBRY, BBBY, SINO