Blue Horseshoe Stocks: PBR Update, New Bottom-Plays

Petroleo Brasiliero S.A. (Petrobras) PBR

Our regular readers are already extremely familiar with PBR, as it has been a topic of heavy discussion since first introducing it on Mar. 21st.  At the time, the stock was just coming off of its all-time low (03/17 @ 10.20), and following our initial mention, was trading at 11.25.

The chart we included in that report showed the gap that is currently being filled, now that the stock has broken into the 14.40’s in premarket trading. That leaves a clear path for this stock to break over $15 as it continues to fill the gap.

We were particularly interested in the May $12 Calls from the very start, which were at .31 at the time, and are now approaching 3.00 just as we suggested they might.

The $13 and $13.50 weekly calls we liked for short-term opportunities yesterday morning have done well too, with the $13’s trading in a range from 80-1.40 (+75%) and the $13.50’s spanned from .33-.90, gaining as much as 173%  We also have been alerting the June $14 calls which are up over 150% since we first introduced them to our readers in the .40 range. They reached 1.08 yesterday.

Given the current conditions, we may be looking at rolling our strike price up to the $14.50 Calls for further short-term opportunities.

All in all, PBR has behaved very predictably in its recovery thus far, providing us with chances to profit at every turn. Even where the stock is concerned, a position taken at our observed low of 11.25 on March 21st, is worth roughly 25-30% more at this morning’s premarket highs in the 14.40’s, and we expect that figure to grow.


More Potential Bottom-Plays

PBR has certainly shown us the value of a good bottom-play, and we have a couple of other candidates that fit that bill to add to the radar today:

NewLead Holdings Ltd. NEWL

As you can see from the following snapshot of the NEWL chart, this stock has been on a fairly steady decline since early this year. As it is gapping up in premarket trading this morning, there is a chance that the bounce could be taking place right here, so we’ll want to watch carefully. At present, NEWL is heavily oversold.

Formcap Corp. FRMC

FRMC is coming off of its own recent lows, and has made higher lows over the past three sessions. While it is not gapping up early on today like NEWL, we’ll still want to keep an eye peeled, as a return to recent levels for this play would mean significant gains from here.


Extended Watchlist:
PLUG, FCEL, ONCY, LMNS, ARTX, AVOP (Marijuana News)

Blue Horseshoe Stocks: PBR Updates & More

Petroleo Brasiliero SA (Petrobras) PBR – Options
We were pleased with the potential for quick intraday gains provided by the PBR options chain on Friday. Our thoughts on moving up our strike price turned out to be warranted, as the $12.50 and $13 Weekly Calls we mentioned both did well on the day.In fact that $13’s actually made a heck on an intraday rip from .04 to more than .20.

We’re still optimistic that PBR stock can continue to recover (after recently hitting all-time lows) and even test the 14.50-15.70 range, filling its gap on the chart. The next major resistance hurdle appears to be the  200DMA at 13.88.

As for the contracts holding our attention moving forward, we’re still looking at the May $12 Calls (which we’ve already followed from a low of .31 to Fridays high of 1.10, +255%) and also considering the June $14 Calls which closed at .47 on Friday.


Positive ID Corp. PSID

PSID is garnering our attention once again this morning. This was a winner for us when we re-alerted it back on Feb. 18th.  If you recall, the stock was trading at a low of .0572 at the time, and we’d follow it all the way up to a subsequent  high of .125. It then came back to find support off of the 200DMA in the mid-.06 range.

We observed a Golden Cross on the chart last week, a signal we are always looking out for, and an 8-K filed this morning only adds to our interest as we kick off another trading week.

It is in regard to a lucrative purchase order that the company has received from UTC Aerospace Systems, which will service the US Dept. of Defense contract for the JUPITR program (Joint United States Forces Korea Portal and Integrated Threat Recognition):
On March 28, 2014 PositiveID Corporation (the “Company” or “PositiveID”) entered into an agreement, in the form of a purchase order, from UTC Aerospace Systems (“UTAS”) to support a contract for the U.S. Department of Defense (“DoD”). This agreement is expected to be performed over the next seven months, between March and September, 2014. The terms of this fixed price agreement include a total value of $841,000 to PositiveID, paid in monthly installments over the next seven months.

This agreement will support the DoD Joint United States Forces Korea Portal and Integrated Threat Recognition (“JUPITR”) Program, which is intended to detect biological threats in order to protect our nation’s warfighters and allies. The JUPITR program will test and evaluate PositiveID’s biological detection and identification technology called M-BAND (Microfluidic Bioagent Autonomous Networked Detector). The assessment will baseline performance, reliability, maintainability, ease of use, and cost of operation to provide the “best of breed” and most affordable options for the U.S. Army and U.S. Air Force.

A copy of the agreement will be filed as an Exhibit to the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. The description of certain terms of the agreement set forth herein do not purport to be complete and are qualified in their entirety by the provisions of that agreement.


Surna, Inc. SRNA

On Friday we added SRNA to our marijuana related watchlist, and were glad to have done so. We learned that SRNA’s new CEO is a former co-founder of Zynga, and the news was well received.

The stock shot out of the gate, rather quickly ballooning from its opening price of 2.99 up to 5.50 (+84%).

We also learned that in addition to a group of new directors, Surna entered into an agreement which effectively gained the company 14 intellectual property patents related to indoor climate control systems for cannabis growing in states where it is legal.


Extended Watchlist:
CLNT, MNGA, ARTX, BIOF, WATT, HIVE, PRAN (Huge gap down, possible bounce-play)

EXHI, WNTR, Marijuana Stocks & Ext. Watchlist

Exlites Holdings International, Inc. EXHI

Although we are not among the many groups paid for promoting EXHI yesterday, our intuitive scanning techniques allowed us to sniff the play out like a bloodhound, and deliver it to our subscribers before the promotion hit! Due to that diligent morning scan, we turned up an advance opportunity at what ended up being max intraday gains of 169% The stock screamed out of the gate at .08 and soared as high as .215 before eventually losing momentum.

This turned out to be just another example of why we consider ourselves to be the number one penny stock newsletter/blog in existence. Our commitment to bringing our subscribers opportunities like these  is ceaseless, a fact to which many of our longtime followers can attest. After the great fortune we enjoyed last week, it was great to begin this week on a high note like EXHI.


Medical Marijuana Stocks Heating Up

As you well know, we’ve had an awful lot going on of late, and while we took a short break from talking about one of our favorite sectors in the month of July, it appears that the medical marijuana arena is heating up once again. We say it is one of our favorites, because as some of you will remember, beginning with our first report on the subject in the fall of 2012, as well as its follow-ups (Pt.2, Pt.3), we enjoyed monstrous gains from several stocks in the field. By checking out those reports, you can get an understanding of the kind of success we had with the sector as a whole. Of course we covered individual marijuana stocks on an ongoing basis the entire time.These included, but were not limited to: CBIS, HEMP, PHOT, MJNA, & MWIP.

We’re going to be moving these plays back to the forefront, putting them near the top of our watchlist once again. If the upcoming autumn season for medical marijuana is half as lucrative as last year’s Fall, we are in for a heck of a ride. Stay tuned!


Worldwide Internet Inc. WNTR

We’ve also got a new play that has popped up on our radar this morning. A dead-cat bounce play, WNTR is coming off of lows which were the result of a recent sell-off. The stock achieved higher highs and higher lows on the rebound yesterday, and we’re looking for the same thing today, which will allow us to confirm the current pattern as an uptrend.

We’ve had a lot of success with recovery plays like this one, so we’ll be watching closely today for any opportunity that WNTR might present.

News:

WILLIAMSBURG, VA, AUGUST 13, 2013  Worldwide Internet, Inc. (OTC: WNTR) announced today that it has received a financing commitment for working capital from Kodiak Capital for the next twelve months.The financing commitment provides working capital to the company based on certain terms and conditions under an investment agreement signed by both parties.

Frank Kristan, President of Worldwide Internet, Inc. stated: “We are excited about working with Kodiak Capital to implement our business strategy of developing a diversified holding company. With the completion of the purchase of the Ludvik assets and the Honeywell Estates, we will have in excess of $50 million dollars in assets?


Extended Watchlist:
 ARTX, INO, DGIT, CBMX, MCOX