Blue Horseshoe Stocks

Blue Horseshoe Stocks: RSH Coming Off 52-Week Lows

Radio Shack Corp. RSH

The last time RSH appeared in one of our reports was back in mid-May, and we’ve passively monitored the stock’s gradual consolidation over the few months since. On Tuesday, it registered an annual low of .55, and in each of the proceeding sessions, has maintained higher lows as the stock hints at a rebound.

Where a week ago we were looking at a steadily declining chart, we now appear to have one with several indicators turning in a favorable direction, and the price action is responding in kind.

What we want to see now, is a break of the 20DMA of .74 to really confirm that the stock is in recovery mode. We always like running across stocks coming off their 52-week lows, so we’re going to be monitoring the stock more heavily in coming sessions. The included snapshot below illustrates the indications of a ripening chart:

Med-Cannabis Pharma, Inc. MCPI

MCPI began to pull back yesterday after providing us with a good opportunity for gains this week. When all was said and done, we saw an overall increase of 55% from .355-.55, which is quite a respectable move.

In instances such as these, when profit-taking from a rapid move up creates a dip, we like to wait in the wings observing for a low point where we might collect cheap shares to ride into the next upswing.

We also want to keep an eye out for further updates on the three retail marijuana stores the company is setting up in the towns of Port Townsend, Port Hadlock, and Hood Canal, Washington.

Extended Watchlist:
JCP, MHR, VGL, DEJ, SPPI

Blue Horseshoe Stocks: PBR Options Update & More

Petroleo Brasiliero S.A. (Petrobras) PBR – Options Update

We called for a potential dip-and-rip play on PBR Calls yesterday, after following the contracts to gains exceeding 200% on Monday-Tuesday’s spike to .64. We did see the dip back down to the .30-range, and the subsequent rip came too, as the $16 Weeklies we’ve tracked from a low of .20 hit the 300% mark at .80 yesterday.

If you recall Tuesday’s report, we said: “Should PBR approach the 16.35-level, we would then have to consider moving up our strike price.” PBR did indeed test and break that price target (HOD 16.76) during yesterday’s session, and as a result the $16.50 Calls went on a romp from a low of .18 to .46, an impressive single session move of 155%

We hope our meticulous and spot-on forecasting of the PBR Options chain this week has at the very least, illustrated why we like to cover options just as well as stocks. As you can plainly see, the chances for quick gains are plentiful under the right conditions, as evidenced by the exponential profits offered to us by this play, time and time again.

Even as the talking heads saw fit to downgrade PBR earlier this year, we’ve stuck with it as it was coming off of ten-year lows back in March at 11.25, and brought continuous coverage as the stock has bulled its way up to more than $17. This will definitely go down as one of the brightest spots in 2014, a year that has thus far been extremely good to us.

Med-Cannabis Pharma, Inc. MCPI

We mentioned that MCPI might see some momentum carryover from Tuesday’s session in yesterday morning’s report, and that’s just what we saw. The stock would make an intraday move of 25% from .4375-.5475.

.Monday’s initial alert on MCPI gave folks a chance to grab MCPI as low as .355, from which yesterday’s high marked an increase of 54%

It’s also given us a chance to get our feet wet within the slowly-forming Washington State-based cannabis industry. We’ll have our eyes peeled for others that are sure to pop up as the state makes its transition away from prohibition.

Added Note:

World Wrestling Entertainment, Inc. WWE

Just to throw in a new options trading idea as we approach the end of the week, we’re going to be monitoring the WWE 09/20 $15 Calls, which closed at .50 yesterday.

Extended Watchlist:
HZNP, LIME, MCP, SAAS, SSYS, DDD

Blue Horseshoe Stocks: Share Reduction Play & More

Profitable Developments, Inc. PRDL

It’s been awhile since we’ve run across a stock trading at a dead bottom (.0001), and even longer since we’ve discussed one in our reports, but in light of the PR we caught this morning on PRDL, we’re going to make an exception.

We might call a stock like this a “lottery ticket”; a low probability, extreme high reward play. Super-subpennies by nature are highly speculative, but have the tantalizing quality of having nowhere to go but up. Especially in the instance of a stock like PRDL which announced a massive share reduction this morning.

With a stock trading in a higher price range, a 30% reduction should roughly equate to a similar gain on the chart. With a stock like PRDL, where each tick up on the chart equals a 100% gain, there’s really no telling where the road will lead. We just know we’re very interested to observe the result.

Starting with a block of two billion shares, the company is claiming to have planned for the retirement of a total of 30% of its common stock, click through to the PR below:

NEW YORK, NY , United States / ACCESSWIRE / Aug 6, 2014 / Profitable Developments, Inc. (OTC PINK: PRDL), today announced that it plans to retire a total of four billion shares of common stock. >>> FULL PR

Med-Cannabis Pharma, Inc. MCPI

Following Monday’s initial alert on MCPI, we observed a low of .0355, and sent out an update yesterday afternoon to highlight the 30% move the stock had made up to that point (.465). However, MCPI ended up pushing into the close at a new high of .485 and increasing our total possible two-session gain to as high as 37%

It remains on our radar today after such a strong close. Any time a stock closes at a new high of day, there’s always a chance for some momentum spill-over into the following session.

Petroleo Brasiliero S.A. (Petrobras) PBR – Options Update

We’ve been hot on the trail of the PBR $16 Weekly Calls this week, tracking them from a low of .20 following Monday’s report, to yesterday’s high of .64 (+220%). After that spike, we saw a pullback, and the contracts ended up closing out the day at .30.

From here, we’ll be looking for the possibility of a dip-and-rip scenario, so it’ll be important to keep our eyes peeled for quick-strike opportunities.

Extended Watchlist:
EGLE, ENPH, NRZ, DRYS, KNDI

Blue Horseshoe Stocks: Afternoon Updates

AFTERNOON UPDATES

Vid3G, Inc. VIDG

We didn’t see the continuation of the uptrend on VIDG as we had hoped this morning, though its important to remember that plays coming off of their 52-week lows can take a little time to mature before they’re ready for a full recovery.

So we’ll still keep this one on our radar as the week continues, while it continues to feel out a bottom.

Med-Cannabis Pharma, Inc. MCPI

On a brighter note, our alert on MCPI yesterday came a really good time. We saw a low of .355 during Monday’s session, and today the stock continued to move, running as high as .465 this afternoon. That marked a solid 30% overnight increase on this marijuana related play.

Remember, this is one that we’ll have on watch for some time as the company prepares to open three recreational cannabis shops in Washington State. We’ll be eager for updates in that regard.

Blue Horseshoe Stocks: VIDG, PBR Calls & More

Vid3G, Inc. VIDG

We’re bringing VIDG up as an item of interest this morning as a stock that is coming off of its 52-week lows, and our subscribers are well aware, we’ve seen plays like these produce exponential gains on the rebound many times in the past.

Yesterday’s session saw a rapid swing up from that annual low (.01), and VIDG managed to break through its 50DMA at .015, as well as maintain that level into the close. Another session of higher highs and higher lows would go a long way toward confirming this uptrend. We’d like to see that previous area of resistance hold as support moving ahead, and based on a number of indicators on the chart, the chance for a bounce to .02 or better is certainly present; VIDG has produced spikes of that magnitude several times this year.

We illustrate this and other points on the chart in the following video, so take a look:

Petroleo Brasiliero S.A. (Petrobras) PBR – Options

On Friday, we mentioned our interest in the PBR $16 Calls for this week, and included a reminder in yesterday morning’s report as well. We’ve become quite adept at playing the PBR options chain over the last several months, and these alerts simply confirm that.

The action on the $16 Weekly Calls indeed proved to be significant as the trading week commenced, with yesterday’s session seeing an intraday move from .20-.38, good for gains of up to 90% A great way to kick things off for these contracts which are now in the money, and we’ll be sticking with the $16’s as the week presses on.

Should PBR approach the 16.35-level, we would then have to consider moving up our strike price.

IsoRay, Inc. ISR

We also want to throw ISR into the mix this morning, as the stock is gapping up off of a relative bottom on some exciting news this morning, so we wanted to enter this into the log as an interesting play that we’re going to want to keep an eye on.

RICHLAND, WA, Aug 05, 2014 (Marketwired via COMTEX) — IsoRay Inc. (NYSE MKT: ISR), a medical technology company and innovator in seed brachytherapy and medical radioisotope applications, today announced the publication of the first major peer reviewed study showing superior results using IsoRay’s Cesium-131 seeds in the treatment of metastatic brain cancer. >>>FULL PR

Extended Watchlist:
ODP, ESI, GRPN, MNI, KORS