American Sierra Gold Corporation (AMNP) was all over the boards just a few months back. An exciting new issue with two strong gold properties in Nevada and Mexico, it seemed to have no limits as to how far it could go. However, like all promoted stocks the promotion eventually stopped, traders took profits and the stock “came back to earth”.
AMNP is at an interesting place right now. The stock chart seems to indicate that the stock has stabilized from looking at the MACD, RSI and its price action recently. Having said that, it made a similar base at around 47 cents in late January, but then pushed through that to now trade around 38 cents. Is this the bottom?…I hope so!
Let’s take a look at why AMNP captured traders’ imaginations in ‘09. AMNP has two projects that seem to have great potential. Its Urique project in the Sierra Madre Mountains of Mexico is their home run. It is contiguous to NYSE listed company Gold Corp’s (GG) El Sauzal mine which is very profitable. To the end of 2008, that mine had produced 1,072,000 ounces of gold and Goldcorp has reported proven and probable reserves of 470,000 ounces left on the property. the Urique Project, encompassing 71,334 acres, has the potential to be as prolific as the El Sauzal mine according to the company. However, the earliest revenue from that mine is expected to be 2012.
Its Discovery Day project in Nevada is small in comparison to the Urique project, but is projected to be revenue generating much, much sooner. In fact, estimates I have read claim that the mine will produce significant revenues for AMNP by the end of the 2010 fiscal year (7-31-10). Recent press releases touted the fact that the mine has been reopened and they are working towards production in the near term.
AMNP has what every mining and exploration company needs: Financing. The company announced, with great fanfare, an equity-based financing agreement with Tobermory Holding Ltd., a European institutional investor. According to the latest Q available, AMNP has made two draws against that agreement totalling $800,000. The initial commitment is for $6MM with up to an additional $10.5MM of financing available. Of course, AMNP must hit certain milestones, but the fact that they have the financing is huge. I will read their latest Q (whenever it is issued) to see just how the company is progressing.
AMNP’s Chart…with my annotations
AMNP has got some real potential IMO. However….remember that for every surge in price, traders who are stuck in losing position will sell into any strength. There are a lot of angry traders out there….from reading the boards. If the company decides to promote their stock again, that could make this thing fly. Don’t forget to factor in the price of gold into your equation. Now that the hype and hysteria have died down, AMNP actually looks like a good company with some exciting prospects.
Good luck and good trading,
Jeffrey Dean
Editor-in-Chief
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DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; AMNP was previously subject to a now terminated promotion agreement. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
I did a blog on Atlantic Wind and Solar, Inc. (AWSL) a few months back and am bringing it back to my members again (link to previous blog). I think that AWSL might be a good trade for the near term and the long term.
To review: AWSL is primarily a solar company that has taken advantage of the Ontario Government’s Feed-In-Tariff program to corner the market on rooftop solar installations in that province. They have other projects outside of that jurisdiction, but the first projects that will make money for AWSL will be in Ontario. I would encourage readers to view AWSL’s site. Here is what I wrote in my previous blog:
“By partnering with corporations, associations, land and business owners, AWSL will install, service, manage solar and wind installations that can range from a single rooftop to a full parks. They are touting relationships that they are working on that will drive them to profitability and a pre-eminent position in the industry in a short time.”
AWSL has been a hot topic on the boards and Penny Stock Chaser has been flogging it unmercifully. AWSL was even on Tim Sykes radar for awhile and that is the company’s own fault. They have decided to go the stock promotion route quite vigorously. But, it is said in this business that small cap stocks don’t move without promotion…and, I believe it, too.
Let’s strip away the hype and take a look at AWSL. Here is what I have learned from numerous sources: PR, talks with their IR people, boards, 3rd-party articles:
Here is the chart so you can see what I am talking about:
I own shares in AWSL and I bought in at around $3.75. I guess I believed what I was writing. The stock dividend brought my basis down to the level where I am in the black again. However, I would like to see all of this potential become realized and I will watch with interest what effect the future news has on the stock. I know that the shorters are betting that AWSL is all hype and will “fold like a cheap suit”. I don’t agree.
I will actually end this blog with what I ended the last one:
“My conclusion is that traders should radar list AWSL. If you trade it, make sure you have a tight trailing stop on it. Take the gains as they present themselves. If the stock goes up appreciably, you can relax the trailing stop so you don’t get “stopped out” on any dips (and there will be some IMO). If this stock gets hot, it could be a $10.00 stock based upon the buzz about it…..Don’t trust buzz though. I would like to see AWSL start booking deals, signing contracts, getting necessary financing, become a reporting company, etc…, but until then I still remain a fan.”
Good luck and good trading,
Jeffrey Dean
Editor-in-Chief
Disclosure: Long AWSL
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DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Investor Soup experienced a “phenomenon” the other day.
I did a research report on Washington Mutual (WAMUQ) and posted it to my trade alert section. Link to my research report. The response was overwhelming! I have had literally thousands of unique users follow that link and view it on my site.
That report was a straight forward research report, but I recieved a number of emails asking for my OPINION of the stock. Well, here you go…
First off, I must repeat the warning that is posted at the beginning of the research report:
Washington Mutual Inc. is in bankruptcy. Investors should be cautious in buying common stock of companies in bankruptcy. It is extremely risky and is likely to lead to financial loss.
Any questions? No? Good. It is clear that WAMUQ is not out of the woods, yet. I find it interesting that a penny stock has a market cap of $354 Million and its branches still number in the thousands. But WAMUQ’s problems may be much bigger than their branch network.
A particularly harrowing article I read on Seeking Alpha quoted the ongoing legal battles between debtors and WAMUQ and stated that “In their motion to disband, the debtor’s counsel revealed – for the first time – that WaMu’s debts could surpass $50 billion making hopes of any recovery for the equity, “extremely remote.””
There you have it….Equity holders have NO chance with this one. And, I believe it. Does that mean that WAMUQ should be avoided? Not at all, but do not make the mistake of thinking that WAMUQ might be a good position for your IRA.
The chart is telling me several things that nimble traders will want to look at. I have laid out those items on the annotated chart below:
With WAMUQ, it pays to keep an eye on the chart and on the news. WAMUQ has been a great trader and could conceivably turn (and turn quickly), so watch the chart. Look for confirmation that the trend is reversing. The candles are indicating that buyers are still interested in the stock because it has not been closing at the low of the day. However, the trend is clearly bearish.
The other thing to watch is news. WAMUQ has a blizzard of lawsuits, injunctions, and motions between itself and the Fed, FDIC, Goldman Sachs, Regulators, etc… The Government could pull the plog on WAMUQ at any time.
Lastly, WAMUQ is a sad story. A proud, venerable institution that traces its origins back to 1889, it fell victim to the its own poor banking practices and the financial tsunami that wiped out so many banks. WAMUQ is gone for good….what is going on now are just the death throes.
Good luck and good trading,
Jeffrey Dean, Editor-in-Chief
Winning Brands is currently a penny stock that has flirted with sub-penny stock status very recently and then seemed like it was going to be dollar stock…all in the space of a few weeks.
As you will see in the accompanying chart, Winning Brands, Inc. (WNDB) has been on a roller coaster ride of late.
I would look for some more confirmation that the stock is basing here at these levels. It is highly volatile and appears to be under accumulation.
Winning Brands is one of those “take it on faith” stocks….because, there is not a great deal of information available about them other than some PR, a website and a few filings. They have made claims that they are going to be fully reporting. I have talked to the company and they say that they are working aggressively towards that goal.
The company itself has a complete line of eco-friendly cleaning products that they are selling through retail outlets worldwide. I have some experience in retail and while it is important for WNBD to get broad distribution, it is also important that they back up sales with ads, buzz, point-of-sale promotions….all stuff that costs money that WMBD doesn’t have yet.
They are on a fund raising campaign and will need every penny to make a splash in the market. I did a very unscientific study and called my local paint store that carried WNBD’s products. The counter person, at first, didn’t even know they carried it. I insisted because I saw it on the site and she then located it. I was hoping for a “gee whiz” testimonial about how this was the greatest product ever. But, I didn’t get that.
That is, however, what WNBD needs to achieve….. A buzz that will carry the name of the company and its products to the four corners of the globe, literally. Their “Extreme Home Makeover” tie-in is great, but where are the Billy Mays-type infomercials? According to a December PR, they are working on a Direct Response ad program. If that gets seen, it could be HUGE for the company.
WNBD might be a good little trader. It is building a following from what I read on the boards and it has a “story to tell”. Any break below $.01 and the stock should be avoided. But, if it can hold this level, then it might be a good entry point. News and rumor are going to drive this company’s stock.
Be fast, be nimble with WNBD.
Good luck and good trading,
Jeffrey Dean
Note: Yahoo! Finance lists the name of WNBD as Global eTutor, Inc. Google Finance and Pinksheets.com list it as Winning Brands, Inc. This must be one of those corporate shells issues.
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Today’s alert company Biopack Environmental Solutions Inc. (BPAC) is a second look for many Soup members. I previewed this stock with members in early 2010 and, in a multi-day move, returned a solid 42% gain.
It was one of the easiest moves I have watched in a long time. The chart is setting up nice right now, and I am hoping that we are all in for another nice ride. continue
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I am still hanging on to my list of “Usual Suspects” and continue to hold the following penny stocks and small cap stocks on my trading radar:
VIVK - I continue to hold this stock in my own portfolio and am still bullish on its prospects. The challenge this stock continues to have is to get anyone to care. Stock Charts Link
LGDI - Still one of my favorites. It has been a great trader since I first alerted members to it back in mid-2009 with the latest 100% gain making my readers and members very happy. The company continues to execute on its plan and with the strengthening of the underlying commodity price (Phosphate), things look good for the company. Stock Charts Link
BYSD - I bought in when I first alerted members to it and watched it plummet the next day. I hung in because I believed in the stock. It has recovered, so I am sitting on a profitable trade. I like the chart and I will give it a few more days to see what transpires. I have put in a stop loss to protect my gain and I am feeling good about the stock. Stock Charts Link
RZ - I profiled it last week and said that it would continue to fall (and, it did). I also said I was looking for a bounce (and, it did). Yesterday, it advanced quite well and this might be the turning point that I was hoping for. Stock Charts Link
ZAGG - Chart of the Day
I’ve twittered and blogged this stock this week. Will ZAGG return to past glory? The chart setup is certainly in its favor.
Long BYSD and VIVK
Good luck and good trading,
Jeffrey Dean
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DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice. Neither InvestorSoup.com nor its affiliates have a beneficial interest in the mentioned company; nor have they received compensation of any kind for any of the companies listed in this communication (with the exception of VIVK, LGDI and BYSD, which are subject to expired agreements). The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.
Carbon Dioxide (CO2) has gotten a bad rap for causing pollution, the greenhouse effect AND global warming. Deservedly so, in most cases.
Fossil fuels such as oil, gas and coal have powered the world’s economic growth since the days of the industrial revolution. As the world economies expand, so does the need for fossil fuels. The U.S. Energy Information Administration projects that global energy consumption will increase 50% by 2030 to over 112 million barrels of crude oil per day. The economic cost is significant with the price of oil and coal setting new highs seemingly every day, but the environmental impact is staggering with BILLIONS of tons of CO2 into the atmosphere annually.
What if there was a way to turn that pollution into profits?
Yes! That is what today’s alert company Carbon Sciences, Inc. (CABN) is doing! continue
Today’s alert company has assembled a seemingly unrelated group of companies and technologies under its corporate umbrella. In reality, they have created a potential new media powerhouse that will deliver information, entertainment and services to its growing customer base through the Internet and mobile devices.
My next trade alert today is on is: Metraton, Inc. (MRNJ)
MRNJ is a diversified new media company that is focused on mobile phone applications (apps) and Web 2.0 services and products.
They are currently configured in four functional divisions (with more to come):
MRNJ, as a private company, states that they have a long, successful history in their marketplace. Over their history they have:
Now, as a public company, MRNJ has some very lofty goals and some strong momentum. The company has coined a phrase to explain its corporate acquisition strategy: “Build—Acquire- Monetize”. This strategy involves ACQUIRING and ASSIMILATING fast growing companies and technologies in the hottest technology and entertainment sectors, forming a broad, but very focused network allowing MRNJ to leverage the strengths of these components to develop strong, profitable companies.
I mentioned growth several times already in my writeup….here are some of the headlines that lead me to believe that the company will be able to deliver on its claims of growth.
Headline #1:
Just a couple of days ago, MRNJ announced it had entered into a mobile distribution agreement with Momentum Entertainment and Sports Network, LLC. (MESN)
The venture will include a series of iPhone and Droid applications for MESN’s popular sports, reality, and lifestyle TV shows including Destination-X, Zone-X and Josh and JB.
MESN is a leading provider of entertainment and sports programming which to date has distributed over 180 episodes of High Definition programming through CBS, NBC, CW, Syndicated TV, AOL Video, Hulu.com, and MRNJ may, with its new agreement, have access to a network reaches over 50 countries worldwide and and over 650 Million mobile phones.
“This major agreement moves i-Mobilize one step closer to reaching its goal of being the fourth largest distributor of mobile content by Spring 2010, behind only Google, Apple and Amazon” said Joe Riehl, Metraton CEO .” To read the full release: Click Here.
Headline #2:
MRNJ also just announced that a new agreement with Digital Management Associates LLC will enable the two companies to bring thousands of classic movie and television shows to your mobile phone!
Metatron CEO Riehl explained, “Our first iPhone Video Delivery app has been submitted and APPROVED by Apple, and we have dozens of titles on sale NOW. While we certainly are not yet a household name like Netflix or Blockbuster, we can now bring classic movie content to millions of mobile devices, and expect to be releasing thousands of titles in the coming months.” To read the full release: Click Here.
Just so you realize the scope of this revelation: It is estimated that over $200 MILLION of iPhone applications are sold monthly.
I highly recommend that members take a peek at CNBC’s feature “Planet of the APPS” to get an idea of how pervasive (make that HUGE) the app market is! Planet of the Apps
The Chart!
Looking at MRNJ’s chart tells a very interesting story. It appears that the “January effect” is taking place for the stock. After a year-end selloff that hammered the stock price, the stock has recovered around 50% of the decline and could be poised to continue its advance. The annotated chart below lays out what I am seeing with this chart.
People that I know in this industry (wiser than me) always agree that it is smart to “ride the trend”. Even though MRNJ has had a great run lately, the bullish trend may mean that this one has farther to go. If you trade it, make sure that you put a tight stop on it and a trailing stop to capture gains if it takes off.
Do your due diligence carefully, but be sure to get this one on your radar.
Good luck and good trading!!!
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I have a lot of fun with ticker symbols….some are fitting for the stock they represent, but others are unintentionally funny…like BLAP. To me, it reminds me of the old Batman TV show when the words like “POW” or “WHACK” are superimposed on the screen during fight scenes. What would “BLAP” represent? Probably, if someone tripped and landed on their rear ends.
Seriously, though, BLAP is a stock that bears watching. The stock was a recent high flyer (a little pump and some good news) and has retraced its recent gains. The company continues to put out positive news and it appears that the sellers have all “gone home”. Nothing recent with news, but I have a call in to the company to see what is going on.
BLAP is a design house specailizing in creating cutting edge iPhone, Facebook and Twitter applications. They have little or no income, but have put out a whole host of positive PR. You can take a peek at Yahoo! Finance to see. Whether their intitiatives turn into income is yet to be seen, but BLAP, to me, is only a chart play right now.
Here is the chart…and, you will see what I mean.
This is a high-risk, high-reward play. BLAP, despite a ticker symbol that sounds like a rude sound, has potential and bears watching. Any break downward from here and the stock should be avoided. Any strengthening could mean that buyers are coming back in. I would like to see more recent PR’s from the company and with no financial data published, that increases the risk on this deal.
Good luck and good trading
Motorsports are hot! In fact, $31.5B Hot! (source: Motor Industry Council) That is how large the U.S. market for motorcycle/ATV sector is. Today’s alert company is already grabbing big handfuls of that market and has plans to get even larger.
So “Fasten your seatbelt” for my next pick: San West USA, Inc. (SNWT). continue