Blue Horseshoe Stocks: Multiple Bottom-Watch Plays & More

Extended-Term Bottom Watchlist

The new year has been off to an uncharacteristically sluggish start for stocks due to worries over China’s struggling economy and the global ripple effect it figures to have, as well as a sharp drop in oil prices. An environment such as this doesn’t discourage us as much as change the types of opportunities we’re after. Troublesome times lead to cheap shares and along those lines, we’ve had a handful of stocks jump out at us as potential bottom-plays.

We’re going to have each of the following on our radars in the days and weeks ahead:

Cesca Therapeutics, Inc. KOOL

Max Sound Corp. MAXD

Generex Boitech, Inc. GNBT

MoneyGram International, Inc. MGI

As we stated above, the general sentiment of the market is bearish at the moment, so we will need to allow each of these room to set new lows before they begin to rebound, but in each case, potential gains on eventual recoveries will be significant, so we’ll want to keep a close eye to make sure we’re hanging around when the fun begins.

Trans-Pacific Aerospace Co., Inc. TPAC

We’ve been following TPAC regularly since the second week in December, sending out reminders of our interest in our reports last Thursday and Monday mornings as well. The stock has essentially been in a consistent uptrend the entire time.

This week alone, TPAC has surged 123% from a low of .0031 to yesterday’s high of .0069. The overall swing we’ve witnessed since our initial alert less than a month ago, is a far more impressive jump of 1050% (.0006-.0069). For our feelings on TPAC to remain bullish from this point forward, we’ll need to see the stock maintain support at or above .005 on any pullbacks.

Constellation Brands, Inc. STZ – Options Idea

STZ appears to be bucking the trend in the midst of a languorous market. While many, if not most stocks are gapping down, we want to pay close attention to STZ as it is currently showing strength.

We’ll put a range of options calls on watch for possible swing-trade chances today and in sessions to come, namely STZ 01/15 $135-150 Calls.

Extended Watchlist:

Blue Horseshoe Stocks: MAXD Update, Options Ideas & More

Max Sound Corp. MAXD

The first thing we want to do this morning is update our readers the performance of MAXD this week. Since we tagged MAXD for observation on Tuesday morning, the stock has gone for quite a ride. It has managed to record higher highs and higher lows every single day, and the overall span we’ve witnessed in just three sessions has been notable to say the least.

Yesterday’s high was .0478, which represented a 74% swing over our observed low of .0275 from Tuesday. Volume in that span has been significantly heavier than average, and we’ll want to continue to monitor MAXD for signs of a protracted uptrend. In order to keep our interest, the stock will need to hold support at or above a previous level of significant resistance at .032 on any pullbacks.

Nutrafuels, Inc. NTFU

We want to follow up on yesterday’s NTFU Special Report with a video presentation of the NTFU Chart, in which we’ll highlight some of the key aspects. 

If you didn’t catch yesterday’s report on NTFU, we invite you to check that out now. The company has a full line of products that are currently available, not to mention an impressive game plan for moving its business forward, that we feel warrants special consideration.

Yesterday’s news with Amazon was a big development too, so if you missed that as well, use the following link to get up to speed:

NutraFuels, Inc. (NTFU) Going Live on Amazon With Three Leading Oral-Spray Dietary Supplements; Weight-Loss, Sleep Support and Spa-Hair, Skin & Nails. (Thu, Oct 22)

We’d also suggest taking a look at the detailed investor presentation outlining the NutraSpray brand:

NTFU Investor Presentation

Fresh Options Ideas:

We’re looking for dip-and-rips out of both of the following stocks after a roughly a 10% gap-up on earnings in the premarket today in each case. For today’s quick-strike options trading radar, we’ll be tracking:

Amazon, Inc. AMZN Weekly $610-625 Calls

Microsoft Corp. MSFT Weekly $51-53.50 Calls

*Don’t forget that trading weekly options on a Friday is an inherently risky proposition, as they are on the verge of expiration. It can, however, be a chance for experienced traders to profit greatly as premiums go down and volatility rises. 

Extended Watchlist:

Blue Horseshoe Stocks: Reviewing EMBR, GROC & Much More

Great Rock Development Co. GROC

As we were mentioning in yesterday morning’s premarket report, we tagged GROC last Wednesday at a low of .0055, and saw the PPS run as high as .0124 on Friday (+125%).

To kick off this week, GROC would perform well once again, and be just one of several timely alerts in our morning report. The stock briefly traded at .0095 early on in the session, and it would go on to register a daily high of .0148, which represented an intraday rip of 56%, and a four-session swing of 169% over our observed low last Wednesday.

We’ll continue to monitor the situation, as GROC closed on twice its 3-month average volume and with strength, maintaining the majority of its daily advances at .0139.

Plug Power, Inc. PLUG

We noticed PLUG gaining some momentum off of a recent bottom, noting multiple consecutive sessions of higher highs and higher lows. We mentioned that we’d be on the lookout for that trend to continue into this week, and that is the way it has unfolded.

The other things we said we’d be watching for were the filling of a small gap on the chart around 2.00, and a testing of the 50DMA of 2.13, and we witnessed the occurrence of both. PLUG managed a nice, steady move from the $2-mark up to 2.33 for a solid 16.5% increase, so again, we’ll keep our eyes open for it to keep recording higher highs and lows.

Embarr Downs, Inc. EMBR

EMBR was another stock from yesterday’s report, the activity of which would provide the opportunity for multiple successful swing trades.

From an early low of .0014 it broke out to the high-of-day at .0024 for an initial 71% jump, and that was followed by a dip to .0018 and a run back to .0024 (+33%). Just prior to the close, one more chance would present itself with a pullback to .0017 and return to its closing price of .0022, adding the chance at an extra gain of 29%

Greenway Design Group, Inc. GDGI

GDGI is a super-subpenny that we tagged yesterday after noticing some activity off of its low of .0002, and that activity not only continued, but increased. Roughly between 10:30AM-12:30PM, shares could have been snapped up at that .0002-level, and the stock ended up running into the close at .0004 for a smooth, 100% gain!

Great Basin Scientific, Inc. GBSN

We also want to raise an activity alert on GBSN, a stock we entered into the log three weeks ago as a bottom-watch play. It continued to peel back, setting new 52-week lows along the way, and we included a reminder for folks not to let it slip off a couple of Fridays ago.

After a patient three-week wait, GBSN has finally showed us what we had anticipated; yesterday the stock broke out from .0523 to touch a high of .0785, a nice, round, 50% run! We’ll be watching intently now, to ensure that GBSN will continue to establish a higher base of support and undergo a more sustained recovery.

Extended Watchlist:

Blue Horseshoe Stocks: GROC, GDSI Recaps & More

Great Rock Development Co. GROC

During an uncertain time where others have been reticent to pull their heads out of the sand, we continue to stand and deliver. Jumping off of the page in Friday’s report was GROC which made a few appreciable swings on the day.

Following a solid 46% initial run from the .0085 low up to .0124, the stock came down to bounce off of the .0098 mark, and returned to .0115 (+17%). That preceded one final pullback to .009 before GROC ripped back to .012 (+33%) and brought the stocks cumulative intraday gain total to 96%

We had originally alerted the stock on Wednesday morning, and witnessed a low of .0055. From that mark, we’ve seen an overall move of 125% over a span of just three sessions from GROC.

Global Digital Solutions, Inc. GDSI

Another great call for us was GDSI, which had a heck of a solid session after being mentioned in Friday’s premarket report. We outlined the fact that it had just come off of a new 52-week low and it turned into another successful bottom-play.

From its low of .0016 which it recorded shortly before the lunch hour, the stock ran with strength into the close, ending the session at its high-of-day at .0025. That move was good for intraday gains of up to 56%, so cheers to any of our readers who were able to bag a nice profit.

We’ll have an eye peeled for GDSI again this morning, as is generally the case in a session following such a strong closing performance.

UVXY and VXX Options Recap

Our main point of focus on Friday was using the activity of the overall markets to leverage ourselves some nice opportunities with Weekly VXX $22.50-25.50 Calls and UVXY $48-52.50 Calls.

It wouldn’t have mattered which symbol, or which strike price in our target ranges at which traders chose to execute, because every single contract we specified provided a chance for a windfall.

The biggest gain opportunities in each set were the VXX $24.50′s which exploded on a 900% rip from .05-.50, and the UVXY $51.50′s which traded in a range from .52-2.70 for total possible intraday gains of up to 419%

AEterna Zentaris, Inc. AEZS

It’s been a few months since we last looked at AEZS, and we’re going to place it back on watch to kick off this new trading week, as the stock made an undoubtedly strong move on Friday, and closed at its high of day. That quilifies AEZS as a possible momentum play.

These present the opportunity both to ride any residual momentum, as well as position ourselves to strike on a dip-and-rip scenario, which often show their faces in situations such as this. So we’ll keep our heads on a swivel in monitoring AEZS moving forward.

Plug Power, Inc. PLUG

PLUG is an old-time favorite of ours that has made us enormous gains in the past. It’s been awhile since we lasted touched upon this one, as we were waiting for it to provide a solid signal that it was coming off of yearly lows, and over the past few sessions we’ve begun to see that.

PLUG has registered higher highs and higher lows for the past four consecutive sessions, so we’ll be monitoring the stock this week for continued progress on that front. As you can see on the included chart snapshot below, we have a RSI just cracking above the 50-line showing relative strength, and the MACD is looking quite bullish as well. There is a slight gap to fill on the chart around the 2.00-mark, and the next key resistance we’ll look to be broken will be the 50DMA of 2.13.

Extended Watchlist:

Blue Horseshoe Stocks: CHKE Recap, Options Ideas & More

Cherokee, Inc. CHKE – Update

We flagged CHKE yesterday as a stock we felt was undervalued coming off of a particularly rough month that saw it get beaten back to new 52-week lows. Our ‘bottom-feeding’ sense immediately kicked in, and in a timely fashion at that. The stock did indeed exhibit the early signs of a recovery, registering higher lows than the session prior, and making a modest move up from 14.67-15.83 (+8%).

We’re going to want to continue to track CHKE for the possibility of a protracted rebound (Remember, there is also a massive gap to fill on the chart), and in that event we’ll be looking to possibly take advantage using the CHKE options chain. We’ll look at the only contracts that had open interest yesterday, which were the 10/16 $17.50 Calls (Last Trade: .30).

If CHKE were to regain even half of the ground lost between its current PPS and that of a month ago, those calls will be pushed deep into the money, and would provide us with a chance to profit tidily.

Santo Mining Corp. SANP

SANP is a super-subpenny play we flagged for observation on Monday, and it didn’t take very long for us to observe a nice move from the stock. Following a low of .0003 on Tuesday, SANP has made a good intraweek swing of 133%, trading as high as .0007 yesterday on volume which exceeded the monthly average volume by six times.

There really wasn’t a heck of a lot going on with this play prior to the beginning of this month, and this weeks activity has come on the heels of the company securing a new Chief Market Officer with an impressive resume, so we’ll be interested to follow along and see what he has in store in the way of changes for SANP.


Added Note:

Speaking of super-subpennies, Embarr Downs, Inc. EMBR has caught our eye this morning as a play that bounced off of its 52-week low and made a brief move into subpenny territory yesterday. We’ll have this one on watch as well, in case further action provides a chance for quick intraday strikes.

Extended Watchlist: