Good Morning Traders! We hope everyone enjoyed the long weekend; we’re all set to start the short week off strong. We’ve got several different things to talk about this morning, so without further ado, lets take a look:
Dig-It Underground, Inc. DIGX
DIGX is a new item of interest that we’re going to start things off with today; the stock began to move on Thursday and Friday, and will be among the top plays that we’ll be monitoring for a potential breakout this week.
Per a recent PR, DIGX management has the intent to pursue opportunities in the cannabis sector, which we know as well as anyone, can mean big things on the chart if the company follows through so we’ll definitely be paying attention to that aspect of the story.
In the meantime, the company is supported by the revenues of its existing salon business, and we really like the potential of the chart as well:
We go over the DIGX Chart, as well as some of our other items of discussion this morning in the following video:
Petroleo Brasiliero S.A. (Petrobras) PBR – Options
PBR hit yet another new high on Friday, this time pushing to 19.74. That spelled good things for the options contracts we’ve been tracking.
The January 17th $19 Calls, which we’ve seen as low as 1.23 as recently as Friday the 22nd, hit 2.48. That’s a one-week increase of 101% so congrats to anyone who was along for the ride.
Digital Ally, Inc. DGLY
DGLY pushed to new highs on Friday; the stock made a 15% intraday move to 19.86 which represents a sizable move up from recent lows.
We began to talk about this play on August 21st, at which time it was trading at 5.75, meaning we’ve already seen an overall increase of 245%
LabStyle Innovations Corp. DRIO
We brought up DRIO as a topic of discussion a week ago today, and we were pleased at the move we saw that day as the stock bounced from a low of .065 and ran as high as .08, a 23% spike.
The stock spent the next session under consolidation, and found support Thursday at .066, just one tick above our observed low. The bounce we saw from that point on would take DRIO to a new high, reaching its apex on Friday at a price of .093. That swing exceeded the initial run, and was good for gains of up to 40%
RadioShack Corp. RSH
We were seeing new highs attained all over the place on Friday, and RSH was no exception. The stock pressed to as much as 1.77 on more than six times the average volume. That was just shy of the next key resistance point on the RSH chart, the 200DMA of 1.79.
Considering the fact that we caught this off of its 52-week low of .55 just a couple of weeks ago, we’d say we’ve fared pretty well with RSH. As of Friday’s new high, we were looking at an overall increase of 222%
Drone Aviation Holding Corp. DRNE
On Friday morning, we mentioned that we’d “have our eyes peeled for any chances that might present themselves with a potential rebound” in DRNE, and it was a good thing that we did.
The stock proceeded to trade from a morning low of .84, hit a high of 1.04 and closed just a penny below at 1.03. That was a healthy 24% move on nearly six times the 1-month average volume.
Side Notes:
Kandi Technologies, Inc. KNDI, a stock we’ve been familiar with in the past, got hit pretty hard during Friday’s session, presumably due to an adverse reaction to an announced secondary stock offering. We’re going to be monitoring the situation there, waiting for the dust to settle. It’s possible that it could lead us to some opportunities on a subsequent rebound.
Speaking of plays we’ll be monitoring on the heels of some recent consolidation, we’ve got China Finance Online, Ltd. JRJC. We tracked this play for gains of nearly 30% the week before last, and it had been pulling back off of that spike through last week, so we’ll be watching to see where this one finds support as well.
Extended Watchlist:
PAWS, CPWR, HGSH, ASTI, JDST, ADMP, EXEL(Large gap down radar for a eventual bounce)