Where The Volatility Is, aka 5 Potential PennyStocking Plays
Posted by timothysykes on Tue 4th of Mar, 2008 09:33:45 PM
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Sten Corp. (STEN) is the latest microcrapper to go exponential. It’s a thinly traded, low float debt laden ($9mil) $10-$15mil company (depending on whether the last price was at the bid or the ask!) up on “strong earnings”. Who really knows what’s going on with the company’s business—with companies this small, one little sketchy deal could be the turning point. I’ll look to short if it spikes again $2+ in 10 minutes like it did this morning. Who knows if I can even find shares to short.
Valence Technology (VLNC) is another PennyStocking runner that makes me wish I was also good at buying on the way up, instead of just shorting on the way down. Oh well, today was a big turning point in the chart, but the stock moves so slowly, I doubt I’ll short since it’ll tie up my cash for too many days all to possibly go down another 50 cents.
Another strong stock with a big down day today, Stillwater Mining (SWC) has had a very VLNC-type gradual run-up. It bounced off its intraday lows a bit, so I’ll look to short if and when it takes those out, right at $20, a nice big fat round number, a likely spot for naïve investors who’ve been taught to be disciplined with their stop losses. Take out $20 and watch it go to $19.50- $19 or maybe even lower within minutes/hours.
The Finish Line (FINL) has some settlement/merger termination, I don’t know and I don’t care—the chart isn’t interesting enough for me to research it further. Looks like a nice bottom put in and it’s not up enough to start shorting…
And last, but certainly least—business, ethics and probable long-term-value-wise—we’ve got everybody’s favorite pump du 2008, Converted Organics (COIN). Another “guru” bought today, just as the first “guru” lowered his position due to a rise in price caused by the first “guru’s” own mention of his position in Vince McBarron’s reality-newspaper (Vince McMahon in the sense that Barrons is as useless / entertaining as the WWF, reality in the sense that it’s staged as a reality TV show)(and for you wannabe “gurus” out there, you gotta love selling into your own pump, even if you probly will go to hell–isn’t that right Garty? Yes, you should be ashamed of yourself for pumping a $60 million company in an article in which the smallest other stock was $900 million).Even though I am firmly against this company, I bought and profited yesterday—remember just focus on the charts—and ‘twas a good thing I sold before my meeting today because just as I suspected, there was a morning spike followed by a nasty $1.50 intraday dump. I’d never hold this stock if I wasn’t watching every trade because it is one slippery sucka. Buuuuuuuut it did impress me by rebounding and finishing higher, doubly confirming this weird ass breakout. Pumpers, suckers, hypersters and “gurus” united against the rational shorts, this thing might have the ingredients needed to take it over $20—and god forbid $25, 30—if they can put out some more fluffy PRs and squeeze those early short sellers! (Hate these companies as if they’re your worst enemies in the world—they probly are—but def. play this game because there’s nothing else like it.)
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TIM Alerts
View All| Date | Stock | Position | Ideal Exit | % Gain |
|---|---|---|---|---|
| Nov 24 | KVHI | Short | $3.70 | 18% |
| Nov 20 | STSX | Short | $3.10 | 11% |
| Nov 18 | PERY | Short | $3.75 | 25% |
| Nov 11 | IIJI | Short | $2.80 | 5% |
| Nov 6 | CVI | Short | $4 | 15% |
| Nov 5 | MECA | Short | $1.95 | 51% |
| Nov 4 | CVI | Short | $4.81 | 4% |
| Nov 3 | NAK | Short | $3.20 | 5% |
| Oct 29 | EVC | Short | $2 | 26% |
| Oct 28 | HSNI | Short | $6.80 | 7% |
| Oct 28 | HSNI | Short | $5.75 | 4% |
November: 9 alerts, 15% avg gain
October: 11 alerts, 14% avg gain
coinmaster- spread the wealth and transfer some funds—–
I WENT ALL IN COINZ LOL!!!!!!!!!!!!!!!!IM RICH GO LOOK AT COINZ THIS YEAR SO FAR THE BEST OF A PLAYS SEE I TOLD YOU ALL ON EVERY MB NO ONE LISTEN OPPS!!!
================COINZMASTER===============
ALSO GAVE NYNY PLAY AND DISK TIMMY MISSED THOSE TO HE AINT ME
LOOK AT GENC TIIMY I TOLD YOU I LIKED IT AT 14
Coin idiot, I don’t care about your picks, when u write in all caps and talk nonsense, its no wonder nobody listens to u. i play patterns here predictable patterns, patterns that are right for everyone and are not as risky as palying the warrants of a shady company that has equal chances of spiking or getting halted by the SEC. for future reference, i’m gonna miss a ton of “good picks” but i’m also gonna miss a lot of bad ones. stick to what u know
COINZMASTER MY I CHANGE YOUR NAME TO CORNZMASTER??? GO BACK TO SCHOOL KID.
Covered on STEN at $4.50 Any advice on playing stocks twice would be appreciated. I’m not very good at two timin’ my stocks. I think STEN is a one trick pony right now. This turd can only sink. Maybe I covered early - the stock should probably on be trading at 1.00 or less anyways. But I have no idea what insanity drove it to almost $6 today.
nice cover on STEN. it could spike again, but who knows, thats a solid profit, move on. PS early morning spike was due to short covering, very tough for these plays to hold 3 days gains though, great trade, wish it was me!
Tim, wow - those were all the smart people getting out of the morning?! I thought they dumb people people buying in. Thanks for the insights and guidance!
Tim Im watching and some of your trades scares hell out of me especially shorts and momo’s like COIN.. then i am gun shy since i got hurt bad shorting MSO during the martha stewart trial.. What do you think of the dead cat bounce like ETFC and FRPT Have you tryed that?? it wasnt mentioned in your book..