OTC Stocks Popping

Reviewing OTC Gains  

We have been focusing a bit more on OTC stocks than we have in years in the middle of the global health crisis. When big board stocks get in trouble, many opportunistic short term traders will turn to the lower exchanges to seek out chances.

So that’s why our readers have seen an uptick in OTC mentions here in our daily newsletter offerings, and already we’ve seen multiple significant payoff opportunities. In our morning report from last Wednesday, we tagged NBDR, and the stock has produced a multi-bag run in just a short period. It has traded in a range from .0112-.0489, which represents a gain of 337%

In addition to our premarket newsletters, any of our followers are welcome to participate in our daily traders chats on Skype (Contact request “stocksumo” to gain entry) to discover or share other opportunities throughout the course of each trading day. Here are a couple of coronavirus related chatroom plays from yesterday which fared very well:

Premier Biomedical, Inc. BIEI
Range: .0011-.0055 | Gain: 400%

American Biomedical Corp. ABMC
Range: .175-.43 | Gain: 146%

Fresh Options Ideas:
Direxion Daily Junior Gold Miners Index Bull 3X (ETF) JNUG Weekly $4-5 Calls 
Virgin Galactic Holdings, Inc. SPCE $13.50-16.50 Calls

Extended Watchlist:

Blue Horseshoe Stocks: Reviewing Friday’s Big Winners & More

Friday’s Big Winners

We enjoyed a spectacular session on Friday, with quite a few of the stocks we flagged in our premarket report posting impressive intraday gains.

Cabo Verde Capital, Inc. CAPV

Chief among the big movers we were tracking was CAPV, which made an epic run from subpenny territory well into pennyland on more than 25-times its average monthly volume.

The stock broke out from an early low of .006 to touch .028, a hearty 324% swing. CAPV also managed to maintain more than 50% of its daily advance, and coupled with the level of volume we’ve witnessed, we’ll need to keep a spot on our radar screens reserved for this play for the possibility of a momentum carryover.


Cardinal Resources, Inc. CDNL

Speaking of momentum movers, we began tracking CDNL closely starting with our morning report on Tuesday, after which time we observed a low of .0057. Subsequent to that, the stock has pressed higher in each of the ensuing four sessions leading up to a massive new high on Friday.

From a daily low of .015 it surged to a high of .0245, marking a 63% intraday rip, and an overall swing of 330% above our observed low on Tuesday. CDNL also closed with strength at .023 and thus will remain on our watchlist for the time being.


Brownie’s Marine Group, Inc. BWMG

Additionally, we included BWMG on Friday’s Extended Watchlist, and were rewarded with a heck of a daily swing from this subpenny stock.

It traded in a range from .0034, and ran into the close to end the session at its high-of-day of .0075. That presented traders with the chance to bag up to 120% profit.

Home Depot, Inc. HD – Options Recap

Now, we’ll take an opportunity to review Friday’s action in a couple of options ideas that we identified on Wednesday as being high-potential, provided HD could continue its bullish push. The Weekly $127 and $128 Calls were our proposed targets, and the nice move HD itself made on Friday facilitated some huge chances for gain in our targeted contracts.

The $127 Calls ran from .65-2.88 for a nice 343% jump, which actually paled in comparison to the $128’s. Those exploded from .08 to 1.99- good for a mind-numbing 2387% single-session run!

We’ve actually had higher one-day percentage gains from a few other options ideas we’ve formulated this year, but this will certainly go down in the books as one of the biggest.

TerraForm Power, Inc. TERP

We also took notice of TERP after it had a big late-day run on Friday, followed by some after-hours Form-4 filings. We’re going to signal this one as a potential extended-term recovery play. We’ll need to see it continue to establish higher levels of support off of the new 52-week lows it registered on Thursday.

Extended Watchlist:

Blue Horseshoe Stocks: CDNL Recap, Potential Bottom-Play & More

Cardinal Resources, Inc. CDNL

CDNL is a stock that we’ve had on our radar since last month, and over the past several sessions it has built itself a heck of a chart, registering higher lows on each of the past six trading days.

We reminded our readers of our interest in CDNL again this week, re-mentioning it on Tuesday, and in the three-session span since that reminder went out, we’ve seen a 146% swing from .0057-.014. Based on a number of factors, we feel that there could be something left in the tank for this play, and we will continue to track its progress provided it can maintain support at or above the current 50DMA of .008 on any upcoming consolidations.

As we’ve highlighted on the following snapshot, the RSI on CDNL just breached into the power zone, while the MACD is giving off a bullish signal as well.

Sarepta Therapeutics, Inc. SRPT – Options Idea

SRPT is gapping up in a big way this morning, and thus we’d like to formulate an options idea to possibly take advantage of the setup we’re seeing.

The stock has already traded as high as $34-range in the premarket, and if it can hold above the 50DMA which we’ve pointed out on the chart below and continue its ascent, we’re going to be very interested in the Weekly $32-35 Calls and their potential for big moves today.

*We always like to remind our subscribers, especially those that have just joined our ranks, of the inherently elevated risk/reward dynamic that comes with trading weekly options contracts on a Friday. As we’ve explained in the past, time-decay starts to become a big factor with expiration coming at the closing bell- premiums evaporate, volatility naturally increases, and some huge opportunities for quick-strike swing trades can present themselves. 

Bon-Ton Stores, Inc. BONT – Extended-Term Bottom-Watch

We’ve had success with BONT in the past, and recently the stock has taken an epic pounding, culminating in a cliff-diving session yesterday. Whenever we spot activity like this, we go into vulture mode, carefully observing for a bounce signal. A correctly timed bottom here could result in a prime rebound play, so we’ll keep a keen watch over BONT today, and into next week.

Extended Watchlist: