CERE Archives - Page 2 of 2 - Blue Horseshoe Stocks

Blue Horseshoe Stocks: Speculative Sub-Penny Plays

Good Morning, Friends! Thanks for joining us as we kick off another exciting week of sniper-style trading action, seeking out high potential plays in multiple arenas. Diversity is key! From super sub-pennies to big boards, from stocks to options; our regulars know that with us, you get a little bit of everything! To start things off this week, we’ve got a couple of sub-penny stocks that we want to put on our watchlist:

Speculative Sub-Penny Plays

Xumanii International Holdings Corp. XUII

XUII comes to us this morning as a stock that was recently trading as low as the .0005 range, and began to push over the .001-mark at the end of last week. The upward activity is concurrent with a new development that has just been announced, the completed acquisition of a revenue-producing company. (Link to PR below)

We’ll be monitoring XUII as the week commences, looking for XUII to maintain support above that all-important .001 mark. As far as resistance is concerned, main areas on the current chart are .0018, and beyond that, the 50DMA of .0024.

Xumanii (DBA Imerjn, OTCQB: XUII), announced that it has completed the acquisition of Rocky Mountain Tracking “RMT”), an established provider of GPS tracking solutions in North America. The Company has signed a definitive agreement to acquire RMT Leasing Inc. and its subsidiary Rocky Mountain Tracking Inc. This transaction is not subject to any further action and is effective immediately.

For the year ending December 31, 2013, RMT generated revenues of $1.4 million and pro forma EBITDA of approximately $200,000. Xumanii acquired RMT for $3.1 million consisting of a combination of cash, a note and preferred stock. >> FULL PR

Guard Dog, Inc. GRDO

Another sub-penny that is currently catching our attention is GRDO. As per a recent corporate update, the company is working diligently toward providing adequate information to come current with their filings, and lift itself from non-reporting status.

On the chart last week, we saw the break of a recent double-top formation at .0008 as GRDO closed at .0009 on Friday. The three lines on the bottom of the included chart below represent current support from .0004-.0006, and ideally we’d like to see the stock hold above .0008 to start things off this week. Conditions do appear favorable; the MACD just made a bullish cross, and is showing rapid upward divergence, while the RSI is headed sharply toward the power zone.

Side Note:
We left things off last week with an extended watchlist that included three potential bounce-plays. KNDI was just coming off of a recent bottom and looking like a reversal was in the cards, while BCOV and AWRE were in free-fall and still searching for their bottoms. KNDI found its footing, and both BCOV and AWRE bounced as we suspected they might. All three will remain on our watchlist to begin the week.

Extended Watchlist:
XGTI, CERE, ACW, FCEL

Blue Horseshoe Stocks: BFLX, SKYF, OBJE & Extended Watchlist

Bioflamex Corp. BFLX

Over the weekend, we were conducting a search for some momentum plays to monitor this morning, and came across BLFX, a sub-penny stock which has just recently awakened from a relatively dormant period. These types of plays, while highly volatile, have definitely provided us with opportunities in the past.

After breaking a previous resistance level, the 200DMA (.0006), the stock held above that mark on Friday. A heavy influx of buying has come in over the past couple of trading days, and it closed out last week in full-on momo-mode.

Today, we’ll need to see BFLX maintain support above the 200DMA, and crack though the psychological barrier at .001 in order for us to remain interested in this play.

SKY440, Inc. SKYF

In the course of another of our routine weekend scans, we caught wind of another runner. SKYF has had significant momentum building up over the past couple of sessions, so this is going to be one that we want to keep on our watchlist as trading for the week commences.

As we point out on the chart below, all indicators are looking bullish and like the aforementioned play, SKYF is another one that we’ll need to see hold support above the .0006-level to hold our attention.

OBJ Enterprises, Inc. OBJE

We tagged OBJE as a bottom watch play on Friday, and like clockwork, the stock came down to find support at .04, and would subsequently bounce back to .0545, for a 36% positive intraday move.

Today, we’re looking for higher highs and higher lows out of OBJE to confirm a sustained uptrend.

Extended Watchlist:
WCUI. CPST, IDN, CERE, RSH, JCP

FREE, PHOT, AAPL & Extended Watchlist

FreeSeas, Inc. FREE

Everything we talked about yesterday ended up doing well, beginning with FREE. After opening up at .3723 the stock shot up to a high of .468, a move of 26%. Most importantly it held those gains nicely all the way through the close at .45.

This was right on par with what we had hoped to see from FREE, as it closed above the 50DMA. It seems our timing of the bounce worked in our favor, and moving forward, we’d like to see the stock continue to make higher lows and higher highs. The 10DMA of .49 and the 20DMA of .60 are going to be our next major hurdles to clear.

Growlife, Inc. PHOT

PHOT went on a similarly successful run as well, following yesterday’s morning report. The stock opened up at .0719, and continued to push the envelope all day, reaching its peak at .0899 shortly before 2PM. That marked an intraday gain of 25%, and like FREE, the stock managed to hold a significant portion of those gains into the close (.0847)

That solid performance came on nearly four times the average volume, so we are going to be keeping an eye on this stock for continued momentum.

Apple, Inc. AAPL – Options

The 11/01 $505 and $510 Calls that we had been tracking would hit their highs early on in the session before AAPL began pulling back from its big gap-up. The $505’s touched an ultimate high of 29.70 (Original alert in the $12-range) while the $510’s reached their peak at 26.44 (1st alerted at $10).

Both sets of contracts offered the chance to gain over 100% At that point, any good trader is taking profits off of the table and chalking it up as a win. Between now and when AAPL releases earnings on the 28th, we’ll be looking to move our strike price closer to the money, and continue to take advantage of this cash cow any way that we can.

Extended Watchlist:
BIEL, AVEW, DUSS, JAKK, CERE, CPRX, STXS, CMFO (Large gap-down watching for possible bounce)