Blue Horseshoe Stocks: PBR Options Recap & More

Petroleo Brasileiro SA (Petrobras) PBR – Recap

Yesterday morning, one of the primary focal points our premarket report was a pair of PBR options contracts, the PBR Weekly $14 & 14.50 Calls.

We cited the stock’s volatility and rapid rise over recent relative lows as the reasons for our interest, and despite yet another reversal for the markets in general, we got very solid single-session results for our PBR ideas. The $14′s traded up 95% from .21-.41, while the $14.50′s logged a double-bagger as they ran from  .05-.11, a gain of 120%

PBR is gapping up once again this morning, so we expect these figures to open up even higher. We will then be looking for a possible dip-and-rip scenario.


BioXcel Therapeutics, Inc. BTAI

We mentioned BTAI for the first time in yesterday morning’s extended watchlist, and got a solid first day performance from that stock as well, as it went in the books as the 2nd highest gainer on the Nasdaq for the session.

From a low of 4.00, BTAI went on to hit a high of 5.84, which worked out to a respectable 46% rise that also bucked the overall trend of the day. The move was facilitated by news that the company achieved positive human proof-of-concept data for acute treatment of agitation in patients with Alzheimer’s Disease, and other degenerative neural disorders. (>>View PR)


Extended Watchlist:
W, APU, ARGX, MYSZ, SN, XPO, EPZM, AMID, PROP, SING

PROP, FU, GOGO, AAPL & Extended Watchlist

Propell Technologies Group, Inc.   PROP
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Last Wednesday, we began taking a look at PROP.  On Thursday, we mentioned that the stock had a hurdle at the 200DMA of .56 to contend with, and if it failed to break that resistance, we would likely see a pullback. The stock did indeed test that .56-mark, but could not break through to the next level, rendering our prediction accurate. From Wednesday’s low of .44 to yesterday’s high of .57 marks a 30% increase.

We’d like to see PROP hold support above .45 moving forward, and are anxious to hear more news from the company in the future regarding its oil production status. News out on Monday pointed to the company’s proprietary “plasma pulse” treatment increasing the production of one of the company’s oil wells by a significant margin.

HOUSTON, Texas, Oct 14, 2013 (GLOBE NEWSWIRE via COMTEX) — via PRWEB – Propell Technologies is pleased to report 6-month results from the first well that was treated with the company’s proprietary plasma pulse technology in the Tulsa, Oklahoma area.
Cottonwood #9-11 located in Creek County, Oklahoma was drilled to a depth of 2667 feet in December 1967 in the Redfork Sandstone formation with initial production of 35 barrels of oil per day (BOPD). For the several years prior to treatment the well had been approximately a one or two BOPD producer.

The plasma pulse treatment was performed on March 28, 2013. Immediately before treatment the well was barrel tested showing 1.4 barrels of oil per day. Thirty days after the plasma pulse treatment, a barrel test showed Cottonwood #9-11′s production had jumped to 5.5 BOPD where it had held fairly steady with a substantial increase in production.

On October 4, 2013, six months after treatment the well was barrel tested showing a rate of eight (8) BOPD, an increase of 408%. The well was barrel tested again on October 10, 2013 and showed an even higher rate.

Currently BARCHART.COM is giving PROP an 80% “Buy” Rating on Short-Term Indicators.

More Info – http://www.propell.com/


Fab Universal Corp. FU
After providing us with a 28% intraday gain on Monday, FU did actually manage to continue piling on gains Tuesday, before closing out the session slightly in the red. The stock touched 7.83 for a time, which marks an increase of 43% off of the 5.46 bottom we observed on Monday.

This week’s run comes on the heels of a previous consolidation, which resulted from a run spanning a period of a few weeks which took the stock from the $4-range up to 11.48. On the current consolidation, we’d like to see support hold at or above the 50DMA (5.34).
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Gogo, Inc. GOGO

GOGO, like FU, is another stock that recently made a significant surge, and is currently in pullback mode. This is an instance where monitoring for a bounce off of the eventual bottom can provide us with the opportunity to make hefty gains on the rebound. The stock has been hunkering down, and building a solid base at the $16-range. Below that we have support at 14.05 (50DMA), and above, resistance sitting at the 20DMA of 17.27.


Apple, Inc. AAPL – Big News

Yesterday, Apple made the announcement that it would be enlisting the help of Burberry’s CEO, Angela Ahrendts, as head of retail operations. This is a development that we will be following closely. Ahrendts is responsible for increasing Burberry’s sales by more than 100% since 2006. This development could mean a serious boost for AAPL over the long term.
Not only does the hiring end a year-long search for a new head of retail operations, but it marks the first time a woman has served on the AAPL Board of Directors.

In other news, Apple earnings are expected on Monday, October 28th, so on the options-trading side of things, we are beginning to monitor the 11/01 $505 & $510 Calls.


Extended Watchlist:
CHGS, GSS, CAK, BORN, SUTR

ACYD, PROP & Extended Watchlist

American Community Development Group, Inc.  ACYD
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ACYD appears on our radar today as a full-bore breakout play, having increased over 3800% in less than a month. In June we tagged this stock as one to watch, and then again on 09/23. This illustrates why it is of vital importance to stay tuned to not only our daily focal points, but our extended watchlists as well.

At this point, ACYD has burst into the stratosphere, making entry from these levels extremely risky, if not inadvisable. We are not in the business of chasing extreme runners like this one, so what we’re going to do is monitor this play for a pullback and subsequent bounce.

It wouldn’t be the first time we’ve reaped profits from a stock in the same situation, if you recall BRND as an example. Over the summer, we timed the pullback after a series of tweets by Dennis Rodman caused the stock to spike violently over a very short period. On the heels of a gain in excess of more than 700%, that play afforded us a chance at over 80% on the dip-and-rip from .0077-.014.


Propell Technologies Group, Inc.  PROP
Another extended watchlist play, yesterday we placed PROP on watch after noticing it had broken its 50DMA in recent sessions. It turned in a solid intraday performance to the tune of 20%, having traded as low as .44 before hitting a high of .527, and closing strong at .52.

The next key resistance resides at .56, coinciding with the current 200DMA. Just a heads-up: Failure to breach that hurdle at .56 would likely give way to a pullback.


Extended Watchlist:

 FREE, SVFC, LQMT, CHTP, DRWI

EWSI, CELGZ & Extended Watchlist

E-Waste Systems, Inc.  EWSI
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We talked about EWSI on Friday, at which time it was trading at a low of .043, and have monitored the stock throughout this week. Yesterday, we saw a high of .0519, marking a 21% move off of the bottom. We wanted to see EWSI hold above its 50DMA (.045), and it has thus far managed to do so. Looking forward, we’d like to see the stock continue to hold above that level.

The company had some news out yesterday regarding plans for the opening of the largest e-waste facility in India:

LONDON, UNITED KINGDOM, Oct 08, 2013 (Marketwired via COMTEX) — E-Waste Systems, Inc. (OTCQB: EWSI) (‘EWSI’ or the “Company”), an electronic waste management services, technology and reverse logistics company and the first public pure eWaste company, announced today that it has signed an MOU with Cerebra Integrated Technologies Limited (‘Cerebra’), a publicly traded company listed on both the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). Cerebra, based in Bangalore, India is India’s leading total IT Solutions provider. The agreement calls for the creation, in Bangalore, of the largest E-Waste facility in India, using EWSI’s ePlant1000(TM) technology. The facility is expected to achieve at least 98% recovery of recyclable materials. An investment via a share exchange between the partners is also expected to form part of the relationship.


Celgene Corp. CELGZ
We were watching CELGZ yesterday due to abnormal pre-market activity, for the possibility of quick gains, and that’s just what we got. The stock, after touching a low of 1.39 rumbled upward to as much as 2.70, a 94% intraday gain. This came on roughly 33X the 3mo. average volume.

With that kind of momentum, it appears as if CELGZ’s success could spill over into today’s session, so we’ll want to keep this one high on our watchlists.


Extended Watchlist:

 ABIO, INO, AA, GOGO, PROP

PROP, TEGY & Today’s Extended Watchlist

Propell Corp. PROP

We had PROP in our Extended Watchlist on June 25th at .0052, shortly after which time the stock traded as low as .0036. For the past three sessions, we’ve seen higher highs and higher lows, closing green each time.

Yesterday signified a key break in resistance, with the stock hitting a new high (since Feb.) of .025. For the ones keeping track, that’s a possible range of gains of 384-594% from the time of our first alert.

The chart recently underwent a Golden Cross, with the 20DMA superceding the 50DMA, often a bullish indicator. It looks as if the 20DMA could also cross the 100DMA.

RSI is looking like it wants to push into the powerzone, the PPO had a cross, and the Slow STO is about to cross the 50 overlay.

Should we see a pullback, we’d like to see support hold at .0098.

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Transact Energy Corp TEGY

Here’s another Extended Watchlist play that turned a decent profit. We alerted TEGY on June 5th. On June 11th, it hit .03, before touching a new high yesterday of .061 for a gains ranging from 22-102%

The following press release, out Wednesday, could be a real catalyst for added gains, once it begins to sink in just how big a devopment $25M in new financing can be.

SAN ANTONIO, TEXAS, Jul 11, 2012 (MARKETWIRE via COMTEX) — TransAct Energy Corp. (PINKSHEETS: TEGY), an innovator in sustainable energy production, is reporting a memorandum of understanding that will provide the company with a twenty-five million dollar financing. Rod Bartlett, President, stated, “The company signed the MOU with Alfra Developers of San Antonio, TX, over 90 days ago but is announcing it today because it is now considered material, as the terms for the funding have been tabled.”

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Extended Watchlist:

LNGT, LBSR,