Blue Horseshoe Stocks: PVSP, KRFT Reviews & More

Pervasip Corp. PVSP

As we kick off this short week of trading, we’re going to revisit the recent activity of a stock we’ve mentioned a few times before. We first tagged PVSP for tracking as a super sub-penny bottom-play back on January 20th which, coincidentally, was also at the start of a holiday-shortened trading week. The stock was bouncing around at basement-level prices in the .0001-.0004 range and continued to do so most of the month of February.

We came back to PVSP when it began to seriously heat up at the beginning of this month, and watched as it ran as high as .0011; which at that point represented more than a 900% up off of our observed low.

Last week, after a consolidation period off of its initial run, PVSP began to perform again. Wednesday’s news of an acquisition (see below) began to drive the stock to new highs since we’ve been following it, and on Friday it hit an impressive .0019. From where it ultimately found support and bounced (March 17th) at .0005, that marked a swing of 280%

From the .0001 low the stock hit on the last trading day of February, it represents an astounding 1800% increase overall.

As you’ll read in the following PR, and the official 8K filing (linked below), the recently acquired company is a Denver, Colorado-based hydroponics equipment distributor, which effectively lands PVSP on the fringe of the legal cannabis industry, one of our favorite sectors to follow over the past few years.

WHITE PLAINS, N.Y., March 26, 2015 /PRNewswire/ — Pervasip Corp. (PVSP) (“Pervasip” or the “Company”) announced its execution and closing of an agreement to acquire 90% of the issued and outstanding equity of Canalytix LLC, an energy and resource solutions provider based in Denver, Colorado.

Canalytix provides advanced analytics through an integrated cloud-based platform that allows users to monitor and control greenhouse facilities through the cloud, including real-time data on energy usage, HVAC systems, lighting and costs. >> FULL PR

PERVASIP CORP Files SEC form 8-K, Unregistered Sale of Equity Securities, Amendments to Articles of Inc. or Bylaws (Fri, Mar 27)


Kraft Foods Group, Inc. KRFT

On Wednesday, we ventured some options trading ideas on KRFT in the wake of the huge news that the company would be merging with privately-held Heinz to form North America’s 3rd-largest food conglomerate. Our ideas were the April 17th, $75, $80, and $85 Calls.

We were treated to a serious spike that netted percentage gains in the thousands that day, and on Friday, KRFT ramped up once again as it hit highs in the $89-range.

As a result, our tracked contracts all produced another spike as well; there was even one twelve-bagger in the mix!

04/17 $75 Calls – Range: 7.18-13.50 – Max Gain: 88%
04/17 $80 Calls – Range: 3.00-9.01 – Max Gain: 200%
04/17 $85 Calls – Range:.35 4.70 – Max Gain: 1243%

We will of course, continue to monitor these contracts moving forward, as there is still well over two weeks before their expiration date.


Extended Watchlist:
ICEL, CNET, CNAT, MJMD, SFUN

Blue Horseshoe Stocks: ADTM, THCZ & More

Adaptive Medias, Inc. ADTM

We highlighted ADTM several weeks ago on January 28th, and on that day we witnessed a low of 1.58. Over the course of the following month, the stock would gradually make its way to a high of 3.10 (March 4th). That was quite a substantial run, topping out at an increase of 96%

It took another eight sessions for ADTM to come down off of those highs and find support, which it did at 2.00 last Thursday. Since then it has been registering higher lows, and yesterday reached back to a PPS high of 2.41 (+20%), so we’re going to re-radar the stock and keep watch over it into next week.


Totally Hemp Crazy, Inc. THCZ

Another high-performance stock that we first came across a few months back was THCZ. We found this gem back on December 18th and it made a 38% gain for us that day as it ran from .013-.018, but the fun certainly wasn’t over.

It took about six weeks of essentially trading sideways before THCZ would begin one of the most epic runs we’ve seen from a cannabis related play since the ‘Green Rush’ of early 2014. It culminated in a new high during Wednesday’s session, with shares changing hands for as much as .14. That represents a massive spike from the lows we observed in late December totaling 977%

At this point, we’ll be watching to see where THCZ finds support again, where we’ll be waiting for the possibility of a bounce-play on the subsequent rebound. The company put out a fresh PR this morning as well.

Totally Hemp Crazy Inc. Orders Second Production Run in April of Rocky Mountain High Hemp Infused Beverages (Fri 8:00AM EDT)


Amarantus Bioscience Holdings, Inc. AMBS

We also want to make note of AMBS as the week draws to a close. We have an extensive history with this play, and we re-flagged it on Monday morning as a “Bottom-Watch” play. The ultimate low would come across the tape at the beginning of yesterday’s session at .05 before AMBS began to bounce back.

It reached its way back to .0595 (+18%) and closed there. Moving forward, we’re going to be looking for AMBS to register higher highs and higher lows off of its bottom. The stock was trading as high as .086 at the beginning of this month, and a return to that area from current levels would spell gains on the order of 40%
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SIDE NOTE: Speaking of stocks on bottom-watch, we want to call attention to Ohr Pharmaceuticals, Inc. OHRP. The company announced this morning that it had failed to meet its goals in a Phase II study of its OHR-102 drug, and got absolutely crushed in premarket trading down to a low of 2.68. It has recovered slightly, and we’re going to have an eye on OHRP as the session kicks off. The rebound off of such a downturn could be significant.


Extended Watchlist:
RHT, BBRY, OREX, LIVE, VJET

Blue Horseshoe Stocks: KRFT Recap & More

Kraft Foods Group, Inc.  (KRFT)
In yesterday’s morning report we took note of the huge merger news concerning Kraft and Heinz, and stated our interest in using the resultant activity to our advantage. The dip-and-rip happened just as we predicted, and shortly after 10AM, it was off to the races for every single idea we put forth!

We mentioned our specific interest in KRFT April $75-85 Calls for intraday options trading possibilities, and were extremely pleased with the results.

The $75 Calls traded up from a low of 7.15 to hit a high of 12.30, an intraday gain of 72%  $80 Calls went on a monstrous run from 1.86-8.62, which equaled a 363% move, and the $85 Calls were the hottest ticket of all, running from a low of .30 all the way up to 4.72; a mega-rip of 1473%

It marked our second single-session, thousand-percent gainer in as many weeks, since we hit it big with ESPR Calls last Tuesday. We want to extend a hand of congratulations to anyone who was able to take advantage!


Petroleo Brasiliero S.A. (Petrobras) PBR

Last year around this time, we were making a killing off of PBR. We had caught it coming off of 10-year lows, and it enjoyed an epic rally lasting a period of many months where we were able to pick off large gains on countless occasions. A quick tag search of our archives on the stock will demonstrate just how often it brought us chances to make winning trades.

The last several months have been rocky for the state-controlled oil giant, as oil prices had been in free-fall while company officials were simultaneously wrapped up in a scandal, and it led to the lowest prices for PBR since 2003.

There appears to have been a rebound on the 13th of this month, so we thought now might be a good time to put PBR on our radar once again. Oil prices have been rebounding as well, so we’ll venture a couple of options ideas to keep an eye on moving forward.

We’re going to put a spotlight on PBR 05/01 $6 & 6.50 Calls which could provide significant opportunities if PBR can sustain this recovery off of its recently established lows.


Vascular Biogenics, Inc. VBLT

VBLT appeared in our reports for the first time yesterday, and it turned out to be a well-timed call. The stock traded in a daily range from 6.25-7.86, representing 26% intraday gain. Several of our chatroom members profited off of it, and we certainly hope some of our readers did as well!

Going ahead, we will use 6.25 as a baseline of support; in order for us to stay interested in VBLT we will want to see the PPS maintained above that level.


Extended Watchlist:
CNAT, SDRL, WGBS, MAGS, OTIV, SD

Blue Horseshoe Stocks: Big News for KRFT & More

Kraft (KRFT) to Merge With Heinz
In a move that will effectively create the third-biggest food company on the North American continent, it has been announced that Kraft Foods Group Inc. (KRFT) and H.J. Heinz Co. will merge. 3G Capital and Berkshire Hathaway, which bought Heinz for $23B and took it private back in 2013, will be orchestrating the deal.

As a result of this development, KRFT is gapping up monstrously in the premarket to the tune of more than 30% Generally when we see a stock soar on news like this, our first instinct is to continually scan for a dip-and-rip scenario once the session commences. When the rip does occur, we’re going to be looking to April $75-85 Calls for intraday options trading possibilities.

Kraft Foods, H.J. Heinz to Merge (Wed 8:18AM EDT)


Social Media Sector on Watch

Despite uncertainly over whether interest rates will be raised this year causing a general downturn in the markets, social media stocks appeared to be an exception yesterday.

We’re always looking for trends to exploit for options trading, and should Facebook, Inc. FB, Twitter, Inc. TWTR, and LinkedIn Corp. LNKD continue their hot hand this week, we could see some nice action in the following contracts:

FB Weekly $84-86 Calls
TWTR Weekly $50-52 Calls
LNKD Weekly $260-265 Calls


Vascular Biogenics, Inc. VBLT

VBLT is another gapper this morning that has surged in the premarket following the company Q4 earnings release. The stock briefly spiked to its 50DMA of 8.65 in early trading, and appears as if it will open in the 6.50’s.

We will look to see VBLT re-break the $7-mark once the session kicks off, as there is a large gap on the chart as we point out below, the filling of which would make for some highly notable gains. It’s definitely a stock we want to keep on our radar as we cruise through mid-week.


Extended Watchlist:
KFX, FXCM, ONCY, BLRX, MRNS, GRPN

Blue Horseshoe Stocks: CYBR, MCP, MEIP & More

CyberArk Software, Ltd. CYBR

Our first experiences with CYBR were good ones, when we successfully called a couple of potentially lucrative options trades around the middle of last month. It was in our report from February 13ththat we targeted CYBR $50 and $55 Calls, and that day we saw moves in those contracts of 72% and 165% respectively.
We flagged CYBR once again yesterday, which had previously been under several weeks of consolidation, yet was gapping up in the premarket. The stock did well in reversing its path, trading in a range from 50.79-55.03, and holding the majority of those gains into the close.

Our current options idea is going to be the 04/17 $50 Calls (Closed at 6.60 yesterday). Should CYBR reach its way back to the $60-level anytime in the next few weeks, the gains we see in those contracts will be quite substantial.


Molycorp, Inc. MCP

MCP appeared in yesterday’s extended watchlist and demonstrated a reversal of its own. We’re going to place MCP on more intensive watch as the week progresses, as it has the markings of a potential bottom play.

We’ve illustrated some of the key characteristics of the chart below, which appears to be gearing up for what could be a big swing. The stock ran well over a dollar at the beginning of last month, so the potential for rapid gains has certainly been demonstrated.


MEI Pharma, Inc. MEIP

We’ve also got an eye on MEIP after the stock was crushed down to a 52-week low yesterday, following the company’s announcement of the failure of its cancer drug in middle-stage testing.

A single-session depreciation on the order of 70% is the hallmark of one heck of a knee-jerk reaction, and the stock appears to be gapping up slightly this morning, so we’ll be on the lookout for a recovery in MEIP shares in coming days.


Extended Watchlist:
IMGN, ATOS ISR, HEB, GEVO, NEPT

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