December 2015 - Blue Horseshoe Stocks

Blue Horseshoe Wishes You a Happy New Year!

View Systems, Inc. VSYM

We tagged VSYM in yesterday morning’s premarket report and despite an early dip to a low of .0014, the stock made a heck of a bounce in the latter portions of the day.

VSYM ran into the closing bell and ended just a tick below its high-of-day at .0028. It marked an intraday pop of exactly 100% and the move occurred on healthy volume to the tune of just over 2.5X the monthly average.

Chimerix, Inc. CMRX

CMRX grabbed our attention on Monday as we were noticing the massive 75% premarket selloff that was occurring. Failed clinical trials can be damning for a stock, but we felt as if the move was too reactionary and placed it on rebound watch.

Our exact words from Monday’s morning report were: “Knee-jerk selloffs of this magnitude don’t come along every day, but when they have in the past, we’ve almost always seen some measure of a recovery.”

The trading action that has followed certainly validated our assumption about CMRX. The stock has managed to record higher lows every day this week, as it has trended from Monday’s daily low of 6.43 to yesterday’s high of 8.56; a three-day swing amounting to 33%

That figure was extended to 43% as of this morning’s premarket high of 9.19. Based on the activity we’ve tracked to this point, it’s likely that we’ll continue our observation of CMRX into the new year.

Weight Watchers International, Inc. WTW

We’ve made ourselves familiar with WTW ever since the news of Oprah’s involvement with the company hit the wires this fall. We had tremendous success with WTW options at that time, and the stock itself appeared on our premarket watchlist yesterday.

It was a great time re-enter it into the mix as WTW ran from 20.63 to 24.22, marking a 17% move to the upside. We’d consider that quite an impressive single-session advance for $20+ stock.

We also drew attention to the WTW $22 Calls in our live trader’s chat (which are currently free and open to all of our readers*) and those went on to make a stellar performance, running from .40-2.15 (+437%) subsequent to our signal.

*Send a Skype contact request to ‘stocksumo’ to participate in our daily trader’s chats.

Extended Watchlist:
WRFX, BBRD, ZNTR, TPAC, CANV, APPG

Blue Horseshoe Stocks: Winning Pick Roundup

Winning Pick Roundup

Despite the traditional holiday tax-loss selling season and generally subdued atmosphere that inherently goes along with it, we’ve managed to round up a fair queue of winning selections. We’ve touched on options plays, ETNs, and stocks; surprisingly it is the stocks that are making moves during this short trading week. Take a look at the plays we’ve been tracking and the kinds of moves they’ve made for us.

FXCM, Inc. FXCM

As we were mentioning in yesterday’s premarket report, we began following FXCM two weeks ago and subsequent to that, would witness a low of 6.68 in the stock. Even after showing us a 196% pop, it wasn’t finished yet.

Yesterday the stock made an appreciable intraday move from 16.80 to 20.36, which represents a 21% jump; quite impressive for a stock in such a price range.

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Swift Energy Co. SFYW

We placed SFYW on watch a week ago today, and it too has made some notable leaps during that time. From the low we observed on the day we began to track it (.065), it has managed to soar 82% to a high of .118 during yesterday’s session.

We’ll remain interested for as long as the stock continues to establish higher base levels of support moving forward.

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Hybrid Coating Technology, Inc. HCTI

HCTI made an appearance in yesterday’s premarket extended watchlist and anyone who was paying attention had a chance to bank a nice profit on the day.

From a low of .0015 the stock rushed to a daily high of .0021, which works out to an intraday spike of 40% It also closed at the high-of-day, and whenever we see that, we’ll always reserve a space on our watchlist the following day for the possibility of what we refer to as momentum carryover.

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Sunshine Biopharma, Inc. SBFM

SBFM was the other play from our extended watchlist yesterday that ended up turning some heads in the early part of the day. From morning lows of .008, the stock cracked into Pennyland, reaching a high of .0183 by lunchtime. That registered as a 129% intraday swing so congrats to anyone who was in on the action!

Extended Watchlist:
WTW, BVAP, ACTL, VSYM, GRNH

Blue Horseshoe Stocks: UGAZ, FXCM Update & More

VelocityShares 3X Long Natural Gas ETN (UGAZ)

In what is shaking out to be a characteristically slow short week for stocks in general, we’re going to adjust our focus a bit and turn to UGAZ. This triple-leveraged natural gas bull ETN has been gaining momentum and rebounding nicely off of its recently-established 52-week lows.

We’ll look for UGAZ to continue registering higher lows and higher highs, and make its way toward the 50DMA of 3.06. As we’ve pointed out on the chart below, there are a number of bullish indicators drawing our attention.

We’d also consider this idea to have a seasonal advantage as we are heading into the two coldest months of the year; the time when natural gas consumption rate is at its annual peak. We’ll eagerly place this note on watch in coming weeks to see how it responds to rising natural gas demand.

FXCM, Inc. FXCM

We placed FXCM on watch exactly two weeks ago and at the time, we observed a low of 6.68 in the stock and it never looked back. In the ten sessions since that alert, it has made some very impressive leaps and bounds.

The activity culminated in a new milestone for FXCM during yesterday’s session as it reached as high as 19.74, which represented a remarkable swing of 196%

Extended Watchlist:
CMRX, SBFM, BIEI, GRNH, SFYW, HCTI, AKVA

Blue Horseshoe Stocks: Options Review & More

Options Update

Spirit Airlines, Inc. SAVE

On Wednesday, we identified a pair of SAVE options contracts as potential swing-trade candidates, specifically referring to the January 15th $40 and $45 Calls, and over the course of the session and-a-half since then, they’ve made quite a bit of progress. From Wednesday’s lows to Thursday’s highs, we’ve already seen upswings of 48% in the $40’s (2.90-4.30) and 93% in the $45’s (.70-1.35).

With more than two weeks until their expiration and SAVE shares still trading in the appropriate range, we’ll continue to keep a lookout for possible swing-trade chances from this particular options idea.

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Celgene Corp. CELG

Despite the decreased activity during the short week prior to the holiday break, we managed to spot some nice intraday swings from CELG options. We were on the trail of CELG Weekly $116-120 Calls starting on Wednesday, and after providing multi-bag gain opportunities on that day, they continued to produce during Thursday’s short session.

The $119’s and $120 were both still close enough to the money to yield significant moves over the half-day with the $119’s surging 77% from 2.12-3.75, and $120’s making an impressive 204% run from .97-2.95.

Chimerix, Inc. CMRX

CMRX set off our cliff-diver alarms this morning after shares plummeted more than 75% in premarket trading based on the clinical failure of one of the company’s late-stage trial drugs.

Whenever we see something like this unfold, our immediate instinct is to wait for the dust to settle, then strike as the rebound occurs. Knee-jerk selloffs of this magnitude don’t come along every day, but when they have in the past, we’ve almost always seen some measure of a recovery.

We’ll place CMRX on watch for such an event, provided it can hold at or above the $7-level moving forward.

Patriot National, Inc. PN

PN is another stock that was recently hammered back, and its own recovery is already in effect. In addition to insider buying in recent months and coming off of recent lows on the chart, the company announced a significant share repurchase to the tune of $20M this morning (View PR) that will avoid dilution from a previously announced private placement. We’ll be monitoring the stock for the possibility of a protracted recovery as we kick another short trading week.

Extended Watchlist:
GEQU, USPR, LOGG, IFUE

Blue Horseshoe Stocks: HK Update, Options Recap & More

First thing’s first- remember that the closing bell rings at 1PM today, whereupon we’ll break for a three-and-a-half day weekend. Allow us to preemptively extend to everyone glad tidings of rest and relaxation, and an enjoyable holiday break no matter how you choose to spend today and tomorrow’s market downtime!

But, before we can hang things up for the holidays we need to go over some of the great winning plays we’ve tracked on this short week; a feat which isn’t always easy to accomplish.

Celgene Corp. CELG

CELG was gapping up yesterday on untraded-upon news, and the activity led us to formulate an idea for a range of options calls that we felt would see heavy activity.

Our specified targets were CELG Weekly $116-120 Calls and we were exceedingly pleased with the ensuing swing action:

$116 Calls – Trading Range: 3.46-6.60 – Max Gain: 91%
$117 Calls – Trading Range: 2.19-5.44 – Max Gain: 148%
$118 Calls – Trading Range: 1.55-4.70 – Max Gain: 203%
$119 Calls – Trading Range: 1.30-3.55 – Max Gain: 173%
$120 Calls – Trading Range: .75-3.10 – Max Gain: 313%

Swift Energy Co. SFYW

We placed SFYW on watch yesterday morning after noticing that the stock was attempting to sustain a rebound off of its recently established 52-week lows.

The stock did perform nicely, trading up from a low of .065 to .1049 for a 61% intraday rip. The move occurred on volume in excess of more than 5X the monthly average.

Remember, we also identified a gap on the SWYW from roughly .11-.16, so we’ll continue to keep this play on watch for as long as a run to fill that gap seems plausible.

Halycon Resources Corp. HK

We were quite accurate in our assessment of HK’s condition in Monday morning’s premarket report. The observations we relayed at the time were that: “Not only is the stock coming off of a new annual low registered on Thursday, but… five members of management filed Form-4′s indicating the purchase of shares at .26. Both occurrences qualify HK for an extended-term recovery watch.”

Over the course of this week we’ve liked the strides HK has made toward that recovery, running from Monday’s low of .2233 on up to a new high of .337 yesterday. That represents a respectable three-session swing of 51%

As you can see on the included chart below, there appears to still be room for the present run to grow, so we’ll be watching out for the stock to record higher highs and higher lows in coming sessions.

Extended Watchlist:
TALK, ARYC, DEQI, EFFI