Wednesday, October 20, 2010

New Rare Earth pick found - AREM.OB

Guys, I think REE is topping out. Looking at MCP's price action today, I think REE is going to pull back in the coming sessions. I would ring the register here and wait for a pull back, probably around $10.50 or $11. REE claimed that it had huge deposits of REEs in the lands that it owns but it is going to take a few years to extract and commercialize them. Fresh long positions are not advised since it went up too fast and too furious and hence there is a possibility of dilution for financing reasons, which might bring the stock price down. I would be surprised if the insiders do not take advantage of this spike in the price.

Bottomline - In the long term, REE is going to be one of our most incredible picks but buy it on a pullback and do not take fresh long positions at the current levels. Follow the trend because it is always your friend!

Here is my new Rare Earth pick, American Rare Earths and Materials Corp (AREM.OB). Not many people knew about this OTC stock yet. Here is some background about this company. AREM engages in the extraction, production, and commercialization of rare earth metals in Canada. The company focuses on the distribution of rare earth metals, including scandium, neodymium, europium, and lithium that are used in transportation, shipbuilding, power transmission, automotive, aerospace, alternative energy, and selected consumer markets. It also develops advanced chemicals and materials, such as phosphates. The company was formerly known as Element 21 Golf Company and changed its name to American Rare Earths and Materials, Corp. in June 2010. American Rare Earths and Materials, Corp. was founded in 2002 and is based in Toronto, Canada.

My opinion - AREM is not explored by many momentum traders and/or day traders yet. It is always smart to stay ahead of the game. AREM closed at .38 today with around a million shares traded, which is about 30 times above its 3 month average volume. It has got a tiny tiny market cap of $8 Million. Good thing about this stock is it is not on pinksheets but on OTCBB, which is hard to find in this market. It's hard to find an OTC stock that is in a red hot sector trading at .38/share.

Is this company legit? I do not have an answer for that question yet but reading their recent PRs and company website it looks like the management is doing their best to increase their share holder value. I am going to call the company tomorrow and find out more details about the reserves they have and their future plans (Not sure if they are going to disclose :) but will try). If I were the CEO of that company, I would take advantage of the current market situation and release some facts about mining, reserves, new agreements etc, which would drive the stock price to $3! LOL how sweet was that?

Here is the contact number, 416-362-2121 if you would like to try. It's a small company so you might even want to try to talk to the CEO directly!

According to Dr. Hearn, CEO, "We will soon be announcing a series of strategic Rare Earth metals partnerships in North America that will help the U.S. get closer to achieving its goal of self-reliance in this critical mineral category."

Read the entire story here

I bought AERM at .38 today and might add more if it pulls back tomorrow since I strongly believe that this sector has more legs to run until Chinese come back and say Hey we have opened the gates! but that's costly thing for them to do.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

BUY XING. Going to hit $3.

REE - Unbelievable. Missed SHZ but just got XING at $1.80

Tuesday, October 19, 2010

REE is going to blow out!

REE just had a huge breakout over $11 resistance this afternoon and clearly shows a BUY signal. I loaded some more Jan calls today when it dipped in mid-day session. In my opinion it is going to hit $14 or $15 soon. I hope it will not be taken over that fast because it is going to kill the opportunities (swing trades) it is going to provide us in the future. I'm fine if it is acquired for $30/share, lol. Out of all seriousness, based on the reserves they have, I still believe REE must be trading at $30/share or be acquired at $30/share. Short term target is $14. We are going to see bumps on the road but eventually it is going to be a MULTIBAGGER!!!! I am already up 186.49% so far on Jan 2011 calls at strike price of $10.

OINK - All Chinese stocks are down after the news that Chinese Central Bank is going to raise the interest rates to control the growth. This effect should be temporary to Chinese stocks. OINK gave a buying opportunity today. It's a strong buy between $5 and $5.50

Goldman Sachs (GS) -
I see it as a breakout play and bought some December 2010 call of strike price $170 $2.10 but it was down after I bought them. I might add some more if it dips tomorrow also.
I am still bullish on SLP, ANTP and DHRM

Other stocks -

WSCI
blows away 4Q estimates, here is the link. Stock up 40% After hours, $6.30. Tiny float stock...deal with it carefully! We sent an alert about WSCI on 09/26 when it was trading at $3.97, here is the link

SHZ - Chinese Basic Metals company up a ton today. It is not clear how much Flourite deposits the company own but it ran along with REE and MCP. I do not see it as a pure REE play but keep an eye on it. It could run another 200% or be a Pump and Dump also.

A general Caution and Advise
-As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Monday, October 18, 2010

Selling REE was a big blunder

I mentioned REE as a strong buy in several of my blogs, here is the recent table with a prediction of $10. But hey last Friday's price action totally changed my opinion because I thought it was going to settle down around 30 Day MA (Bearish MACD) at $7.5 and I thought it was going to be a dead investment for couple of months so I sold off everything that day. It was totally a bad timing for me and I should not have done that but here is the good thing, I I loaded Jan 2011 calls at .90 (read my previous post), which were up 102% today otherwise I would have been very very upset.

What to do next? - Congrats if you are still holding REE and please do not do the same stupid thing that I did last week :) I think REE is going to cross $15 soon. No chasing please but buy when it pulls back. All stars are aligning to make this Gem a Multibagger.
  1. China says its REEs may not last more than 15 years and it may even start importing them. Read Bloomberg article here if you have not yet.
  2. Takeover speculation just started like a wild fire, read about it here.
  3. REE's market cap is just $300 million but as per this report the estimated after tax value, at current rare earth prices, of Bear Lodge would be $598 million; and $978 million taking into account expected increases in rare earth prices. If those numbers are close to accurate, then REE would be trading at $30/share.
OINK - In my previous blog I said OINK would be soon noticed by some other newsletters like geoinvesting and it did. China Trading guys have done extensive research on OINK and here it is...

SLP - IBD had increased its rating on SLP to 92 and it hit a 52 week high of $3.46 today. Volume is increasing along with the buying interest and huge momentum is going to build in this stock soon.

ANTP and DHRM are still part of my portfolio.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Sunday, October 17, 2010

Update on OINK, ANTP and SLP

First OINK OINK! - OINK had finally crossed its IPO price of $6 in the last two trading sessions and the bullish momentum is building in this stock. I think we are going to see $8 before its earnings are released and if they up the guidance on their earnings estimate, it could be the next BORN or CCME. Factors like IBD recognition, articles about OINK by other big investor magazines are not baked into the current price yet. Once those market forces come into action, we will see huge volume and price action, which will make OINK a multibagger!!!

ANTP - I added some more shares last Friday at $4.75 after a tough fight :) I think the shares were being shorted and also were under accumulation since they released their earnings. ANTP closed above $5 in the last two session with 3 times above 3 month moving average volume, which is a good sign and I am positive that it is going to break its 52 week high soon and settle between $7-$8. IBD ratings jumped from 71 to 77!!!

SLP - I added some more at $3 last Friday after I noticed a small breakout at that price and I see a bullish momentum coming in the next few weeks, which could take this stock to $5-$6. IBD ratings on SLP are still strong, Composite rating of 91

REE -
Technically the stock seems to be getting weaker so I just sold all for a decent profit but bought Jan 2011 calls for strike price$10.00 at .90 average. I do not see a catalyst for the stock to move much higher in the next couple of months. I think it might settle down around $7, get consolidated and then move higher from there. In the next leg, once the momentum starts, it will just catch like a wild fire and take the stock to new highs. I hope I am right but please do share your thoughts with me through responding to this blog or emailing me at incredibletrades@gmail.com.

GFC Warrants - GFC+ (TD Ameritrade), GFC-WT (Yahoo Finance). It was up around 20% last Friday and I have been noticing some buying interest in the last two days, which was not seen in a while. It's worth keeping an eye on those warrants. We do not know when GFC is going to report its earnings but the recent movements in the warrants tells something and that's is not clear yet..............stay tuned....

Good night guys :)

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Thursday, October 14, 2010

OINK is behaving like a BULL

It looks like OINK drank BORN beer and getting out of control. LOL. It just hit the high of $6.05. Congrats if you bought it on my initial alert on 09/29, click here and other followup dates. I have raised my target to $8, however in the long term I think it is going be the next BORN.

I just bought some CTIC at .42 this morning...volume was huge and there was a spike on no news. let's see how it is going to work out.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, October 13, 2010

Stocks to watch - ANTP and SLP

ANTP, a communication equipment company with a micro float of 2 million shares announced results last night, 10/12 which were encouraging and keeping its wild swings in the past, most traders got very bullish about this stock and pushed it up to $5.60 or 90% above its closing price on 10/12. Volume was huge and I got tempted and emotional like everyone and tried to grab it around $4.75 this morning but I did chase it and got it at $5.40, stupid thing, right? I wanted to average it around $4.80 again but I could not. It closed around $5.10 but if you ever traded this stock in the past you will know its power. I am still bullish on it...not that I will make millions on it..lol but I can get out of it either with a decent profit or minimal loss. Let's see how it is going to work out.

IBD composite rating - 71

SLP, Based in Lancaster, Calif., Simulations Plus (NASDAQ: SLP) produces software used for pharmaceutical research and educational purposes. The company also makes computer software and hardware to be used specifically by people with disabilities. Since January, this penny stock is up 93.5%, and it posted a net profit margin of 23.7% last quarter. Likewise, this stock met earnings estimates last quarter, after exceeding expectations in the two prior quarters. Its quarterly earnings growth of 30% year over year also makes this penny stock a valuable buy at this time.

I bought some SLP at $3 and am expecting it to double in short to medium term. IBD ratings on SLP are awesome, Composite rating of 91. SLP is a tiny float stock with huge momentum ahead. Keep an eye on it!

OINK pulled back little bit but the trend is very similar to BORN. Add it to your watchlist and under $5 is a strong buy. REE is hovering between $8 and $8.50 and looking at the charts, I would be a buyer if it crosses $8.75.

Other Picks - Keep an eye on GFRP, click here, Chinese medical equipment owner and provider... looks interesting...closed at .55 today but expect at least 50% upside from here. I do not own any of these shares.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Monday, October 11, 2010

OINK OINK on Geo Investing!

OINK is finally on Geo Investing Website, which will have a huge positive effect on the momentum of this stock. The guys who covered BORN are now with OINK. Before you read the following, let me tell you that we are proud to say that we discovered OINK on 09/29 even before Geo Investing guys did. Geo guys got an excellent team of market research analysts with great track record covering mostly Chinese stocks.

OINK a solid company with strong fundamentals and growth prospects

By Dan France GeoTeam Contributor

A Tale of Two Recent Chinese Small Cap IPO's

The performance of two recent Chinese small cap IPO's last summer peaked my interest. The companies' stocks, both with strong fundamentals and outstanding growth prospects, initially declined following the IPO and then churned sideways for extended periods before finally coming to life. The first of the two to go public in June was China New Borun Adr (NYSE:BORN), a producer of edible alcohol that is used in China's national drink, baijiu. BORN was priced in a volatile market at $7.00, well below its original targeted price range of $12 to $14. BORN frustrated its IPO investors by trading on low volume and with little price movement after the offering. I researched BORN and published an article on GeoInvesting.com ("Raise a Glass to BORN") just as the stock was starting to stir at the end of July. Since then the stock has been 'discovered' by Investor's Business Daily, among others, and has rallied strongly recently reaching $18 in active trading.

Since BORN's saga unfolded ,Tianli Agritech (NASDAQ:OINK) completed its IPO on July 21 at $6.00 and the share price initially plunged to below $4.00 during the first week of trading. The trading pattern since then has been eerily similar to BORN's. Volume until recently has been almost nonexistent and the share price churned sideways just under $4.00. One curiosity I noted with both OINK and BORN was that during the darkest days of low volume and investor indifference it seemed both stocks consistently had bids with size below the market and few shares offered at the ask price. It appears both stocks were quietly and patiently accumulated as discouraged IPO players gave up the ghost and sold at deep discounts to true value. Now the pigs in OINK's pen are stirring and the shares have rallied from around $3.70 to its recent price of near $5.00. Could OINK be the next BORN?

I bet IBD is going to discover OINK soon and I sincerely believe that it is a golden opportunity for those who regret for missing the BORN boat. I added some more at $5 today.

Click here to read more about Geo Investing coverage on OINK

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Sunday, October 10, 2010

I got some HOOKs! Waiting for a big fish like BORN

Congrats if you are still in BORN!!!. I sold all of my shares around $12. I should have waited for some more time but I just wanted to stick to my target price of $12 and don't want to be too greedy. I think we're gonna get a chance to enter BORN back in at $12.50/$13....gotta be patient tho. I still think BORN has potential to touch $25 in couple of months but it gotta touch $12s and consolidate at various levels before topping out.

Here is my new pick.
HOOK Craft Brewers Alliance, Inc. engages in brewing, marketing, and selling craft beers in the United States. The company offers its products under the Widmer Brothers Beers, Redhook Beers, and Kona Brewing brand names. It also operates a small pilot brewpub-style brewery in Portland, Oregon. In addition, the company involves in the sale of retail beer, food, apparel, and other retail items in its brewery pubs. It sells its products in draft and bottles through restaurants, bars, and liquor stores, as well as in bottles at supermarkets, warehouse clubs, convenience stores, and drug stores. The company was formerly known as Redhook Ale Brewery, Incorporated and changed its name to Craft Brewers Alliance, Inc. in July 2008. Craft Brewers Alliance, Inc. was founded in 1981 and is based in Portland, Oregon.

The only downside with this stock is insider selling but I just picked it as a momentum play at $6.90 on Friday, 10/08. I have targeted it for $8.50. If the insider stops selling, it could go mich higher like BORN. I am still long on REE. It faced an ugly week with bear attacks but I noticed that it consolidated in the last couple of days and I think the downward pressure can be minimal and I believe that it could gap up Monday and test new highs in the coming weeks.

Recent Peformance
Ticker
Symbol
Alert
Date
Alert
Price
Price
as of
(10/08/2010)
Profit/Loss%
Profit/Loss
Comments
BORN9/26/2010$8.79
$16.08
$7.29
82.94%Sell and Enter back in at $12-$13
WXCO9/26/2010$8.15
$10.90
$2.75
33.74%Buy under $10 otherwise Hold - Target $15
GENT9/26/2010$6.30
$7.00
$0.70
11.11%Hold - Target $8
ICH9/26/2010$3.99
4.34$0.35
8.77%Hold - Target $6
HBDT.OB9/26/2010$0.09
$0.09
$0.00
0.00%Hold - Target $.50
DHRM9/27/2010$5.00
$5.95
$0.95
19.00%Buy - Target $8
OINK9/29/2010$3.90
$4.80
$0.90
23.08%Buy - Target $7
REE9/29/2010$8.05
$7.45
($.59)-7.34%Strong Buy - Target $10
JCTCF9/29/2010$7.00
$7.04
$0.04
0.57%Hold - Target $9
SIFY10/1/2010$2.81
$2.29
($0.52)-18.51%Hold - Target $3.5. Use Stop limits on this stock
PDO10/3/2010$4.60
$4.65
$0.05
1.09%Hold - Target $7
LCRY10/3/2010$8.09
$8.72
$0.63
7.79%Buy - Target $12
THMD10/3/2010$14.72
$15.03
$0.31
2.11%Buy - Target $21
MPAA10/3/2010$9.19
$9.13
($0.06)-0.65%Hold - Target $13
A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Sunday, October 3, 2010

Stocks to watch on Monday

HBDT.OB - I hated the stock (and of course my trade) when it was down 50% after I bought it but the last Friday's after hour news release made me kind of happy and I think I might even go long if I get it at .12. on Monday. Oh btw, here is the news item, Independence Blue Cross invested $5.4 million in Health Benefits Direct when its market cap was around $4.5 million. The private placement was done for .15/share, which was 50% above the closing market price. Positives are a Health Care giant like Independence Blue Cross investing in a micro-cap company by paying above 50% of closing market price and HBDT planning to change its company to InsPro Technologies Corporation.

My opinion - I think this stock is going to .50 soon and much higher depending on how fast it hits the radars of momentum players and how much it is pumped! I honestly believe that entering it under .15 has zero risk involved. Please read the PR and post your suggestions and comments to this blog or email me at incredibletrades@gmail.com

Rare Earth Metals - This sector is getting hotter and hotter everyday. I do not see any signs of cooling down in the near future. I am still holding REE and will add more on pull backs. Here is an article from Seeking Alpha explaining why it is important to add Rare Earth Metal stocks to your portfolio, click here

Buy Ratings - OINK (momentum has begun), WXCO (nice breakout.....going to $15 soon), PDO (Oil is in the news again so buy), GENT, SIFY, DHRM, JCTCF (added a small chunk at $7.25). Add these to your watchlist and buy GENT, OINK, and WXCO on pull back.. I am long all of the stocks mentioned here.

Other stocks under my radar - LCRY, THMD, and MPAA (traded few weeks ago). I currently do not own these stocks but might on a pull back....

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Friday, October 1, 2010

Buy SIFY - Near Term Target is $4.25 to $5

Here is a quick update on the trades I did today.
  1. Sold another chunk of BORN at $11.50, which was bought at $8.1. It got very close to my target price of $12. Still holding some. I will sell the remaining at as best price as possible and enter back in if it goes back to $10. Medium term target is $22....Remember RINO?
  2. Sold half of REE at $8.50, which was bought at $7.50. I think this stock has lot more upside but just to be on the safe side I booked some profits. My near term target is $10.50. I will unload the remaining and will then reevaluate before going long or short. Most probably long :) I'm an optimist....As a matter of fact, I made money going long when the markets were tanking...Yes I went long on Triple BEAR ETFs like FAZ, TZA etc. LOL
  3. Holding OINK, DHRM, GENT, ICH
  4. Bought JCTCF at $7.25
  5. Bought SIFY at $2.99
It looks like some activity in DHRM has started already, It's just matter of time to ignite the spark and you will see fireworks! I also loaded SIFY today because I like its technicals. Volume had dramatically spiked in the last couple of weeks with couple of nice breakouts. I see the trend to continue and the stock hitting $4.25 to $5 in the next few weeks. I was pleasantly surprised to see its IBD ratings with Composite of 75%, RSI 100% and the last but not least Accumulation/Distribution ratio with 100% = A+ means HEAVY BUYING!!!

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, September 29, 2010

OINK OINK OINK...Bought some Hogs!

Not the real ones but just some shares of OINK at $3.90. Chinese stocks have been beaten down badly and now are gaining their momentum again. Here are the Q2 results of OINK, click here
My target on OINK is $6. Also it is worth focusing on Rare Earth Metal stocls which are going to see huge upside in the coming days. I personally like REE and TC but since with REE risk/reward is high when compared to its peers, I pickced REE at $7.50 after today...I read about MLLOF.PK, which according to someone on a message board is owned by the same CEO of REE so it reflects the trend in REE. Most of the rare earth metal stocks are on pink sheets...will post about more stocks soon
Sold small chunk of GENT and WXCO and all of WSCI (it started moving up now....sucks) oh well...

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Monday, September 27, 2010

Bought DHRM at $5.

I am continuing to make money on BORN, GENT, ICH. Added some more WXCO at $8 :).

I Added DHRM to my portfolio today. Chinese company IPO'd recently. Micro cap with potential to gain at least 50% from here. That's my honest opinion. I bought it at $5

Dehaier Medical Systems Limited, through its subsidiaries, designs, develops, and markets respiratory and oxygen homecare products, and other medical devices in the People?s Republic of China. The company also distributes products designed and manufactured by other companies. It offers various medical devices, including C-arm X-ray systems, anesthesia machines, patient monitors, and general hospital products; and respiratory and oxygen homecare products, such as oxygen concentrators, CPAP devices, portable sleep screening and diagnostic devices, and thermotherapy devices; and air compressors and ventilator trolleys. Dehaier Medical sells its products primarily to distributors, as well as to hospitals, clinics, and government health bureaus directly. The company was formerly known as De-Haier Medical Systems Limited and changed its name to Dehaier Medical Systems Limited in June 2005. Dehaier Medical Systems Limited was incorporated in 2003 and is based in Beijing, the People's Republic of China.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Sunday, September 26, 2010

Guys, I'm back!!!

To all my dear subscribers - Yes Mr. Incredible is back!!! Elastigirl, Violet and Dash Parr are doing great :). It's almost 8 months that I have posted on to my blog. Not the I did not have anything to say but some big (positive) changes in my career made me divert my focus from trading and other fun stuff to job responsibilities! It looks like I'm going to get some free time again to post my picks like I did in the past while doing my job efficiently. Anyway enough of this boring stuff.
Here are my recent picks -
  1. BORN - Already traded for profit in the last couple of months (In at around 8 and out around 10.25) and got back in at 8.10 a week ago. LONG, Target $12
  2. WXCO - Already traded once for profit (In at around 5.10 and out 9.25) and got back in at 8.40. LONG, Target $15
  3. GENT - Got in at 5.60 and still holding. Target $8
  4. ICH - Got it at 3.6 and still holding. Target $7
  5. WSCI - Got in at 3.97 - Target $7
  6. HBDT.OB - Got in at .16, Target - This one actually suck :) I'll get out of it if I get my purchase price.

Why do I like those stocks? because I see momentum in them and IBD tech/fundamental ratings are high. Except BORN, all other stocks are not much exposed yet and just gaining the momo..All of them are micro caps and are thinly traded. You know how these microcaps behave, right? Sorry I do not have time to go into the details (earnings, float) etc of my picks but please do your DD before you take a position.

I am still holding GFC+ and ARR+ warrants..should have sold them long time at .50 but my focus was on my job. This company is actually uplisted to NYSE and it is ironic that it started to plummet since that day, Isn't it funny? Oh btw, is anyone still in AEHI.OB, which I recommended sometime in January this year. It has been up 5 times since then..Here is the link If you are still holding it, I would recommend to get out of it. It is overvalued at this point and lot of things do not seem to be right.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, January 20, 2010

Two new SPACs explored - AXG and NLX

1. AXG - Atlas Acquisition Holding Corp. Their target company is Select Staffing, a leading provider of temporary staffing services in the United States and is the largest provider of temporary staffing services in California. Through a network of company-owned and franchise agent offices, Select Staffing offers a wide range of temporary staffing solutions for over 200 job classifications across a range of service categories. Select Staffing provides its services in 45 states through 355 offices, of which 202 are company-owned and 153 are franchise agent offices.
Select Staffing has rapidly expanded its revenue and U.S. market share through numerous acquisitions and organic growth. Select Staffing has a proven track record of identifying and successfully integrating acquisitions, winning new clients and retaining existing clients. Select Staffing’s revenues have grown during the last four years at a compounded annual rate of 37%, from $411 million in 2004 to over $1.4 billion in 2008.

Here is what geoinvesting's contributor, who did warrant analysis on TMI (CCME) has to say about AXG Warrants.

At the special meeting of Atlas warrant holders, Atlas warrant holders will be asked to consider and vote upon the following proposals:

(1) *The Warrant Conversion Proposal* — a proposal (the “*Warrant Conversion Proposal*”) to:
  • approve an amendment to the Warrant Agreement, dated as of January 30, 2008 (the “*Warrant Agreement*”), between Atlas and American Stock Transfer & Trust Company, to provide for the conversion of all of Atlas’ outstanding warrants into an aggregate of 1,677,000 shares of Atlas common stock; and
  • terminate the Warrant Agreement in connection with such conversion, which Atlas believes will increase its strategic opportunities and attractiveness to future investors by eliminating potential equity dilution from the warrants;
(2) *The Warrantholder Adjournment Proposal* — a proposal to approve the adjournment or postponement of the special meeting of warrantholders to a later date or dates, if necessary, to permit further solicitation and voting of proxies (the “*Warrantholder Adjournment Proposal*”); and

(3) Such other procedural matters as may properly come before the special meeting of warrantholders or any adjournment or postponement thereof.

In connection with Atlas’ initial public offering, James N. Hauslein, Gaurav V. Burman, Sir Peter Burt, Michael T. Biddulph, Michael W. Burt and Promethean plc, purchased an aggregate of 5,800,000 warrants, and Messrs. Hauslein and Burman subsequently purchased an aggregate of approximately 1,100,000 warrants in open market purchases, for a total of approximately 6,900,000 warrants. As of the Record Date, these warrantholders owned an aggregate of approximately 27% of the outstanding warrants of Atlas. These warrantholders have agreed to vote their warrants in favor of the proposals to be presented at the special meeting of warrantholders.

"So that means there are like 25M or so warrants which will become 1.677M common. That means 1 common for every 14.9 warrants (probably an even 15, rounding error). AXG warrants at 0.26 right now, multiply by 15... Thats like buying the common at $3.9 *if* the acquisition goes through.

Seems to me like a double if the acquisition happens, nothing if it doesn't."

I bought AXG Warrants at an average price of .35


2. NLX - Overture Acquisition Corp

I bought NLX warrants at an average price of .21. More DD will be provided soon...

CIO's deal was closed succesfully today! The warrants touched $1.24 but I sold some at a dollar and my average price was .14. Keeping the complexity of the deal, it looks like lot of people took the profits and moved on but I think it will continue its uptrend once the excitement is over! Remember this is what happened with CCME and CHSQ..

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, January 13, 2010

CIO-WT Warrants up another 70 percent today!!!

With CIO it looks like it is a done deal after the company started the process to acquire some 7.5 million shares through Victory Park Capital Advisors this morning from investors who likely would have voted no on the proposed business combination. However the game changer is the news (read it here) that was released after hours about entering into agreements to purchase an aggregate of 2,821,857 ordinary shares in privately negotiated transactions for a purchase price of $28,218,570 from shareholders who otherwise intended to vote against the previously announced proposed acquisition of up to three insurance companies and $650.0 mln of assets of two unaffiliated families of hedge funds.

If the deals passes on Jan 19, 2010 without any wrinkles in structure of warrants, then the warrants will trade where they are supposed to be trading. As of today's close the intrinsic value is $2.10 (current price of $9.60 - Strike Price of $7.50) but they are trading at .68, which is way way undervalued. I do not think it is going to remain there for a while but will hit atleast $1.5 in the next few sessions (before Jan 19th)

Speculative play - I bought AEHI.OB at .17 today. I have had it on my watchlist since it was at .09 but never touched it since it was a Pink Sheet stock and also I was not that confident on it. Now that it just moved onto OTC exchange, which signals a positive trend and also based on the recent news releases, I see limited risk in this stock but if everything works out for this company then the upside is huge. My prediction is .34 to .40 in the near future.

About Alternate Energy Holdings, Inc. www.alternateenergyholdings.com develops and markets innovative clean energy sources. The company is the nation's only publicly traded independent nuclear power plant developer willing to build power plants in non-nuclear states. Other projects include Energy Neutral, which removes energy demands from homes and businesses www.energyneutralinc.com, Colorado Energy Park (nuclear and solar generation), and International Reactors, which assists developing countries with nuclear reactors for power generation, production of potable water and other suitable applications. AEHI China, headquartered in Beijing, develops joint ventures to produce nuclear plant components and consults on nuclear power. AEHI Korea is working to import the Korean advanced reactor to the US and find potential investors.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

New Positions in the New Year - UPG, ADK-WT, COINZ

New Year started with a late Santa rally for me because I have added a ton of CIO-WT at .09 when the warrants dropped from .40 to .09. Like I expected the management is in the process of putting their money to work by trying to acquire two profitable specialty reinsurance companies engaged in the reinsurance of life insurance and property and casualty insurance and the business of investment management with total post transaction assets of approximately $1.5 billion; Read more here. The voting is going to take place on Jan 19th 2010 and IF the deal is successful, we will once again benefit big time like we did with CCMEW, CACAW, IDI etc. I am still long CIO-WT (Average price .14)

I bought the warrrants of COIN, the symbol is COINZ at .19. I dont know if any of you played COIN in the past but I did and made some quick buck on it. There has been a nice consolidation in the common stock price between .65 and .80 and started to trend higher with massive volume in the last few sessions (Crossed 50 DMA and tried to break 200 DMA but failed). Taking the recent developments like having a deal with Walmart and others, I think the common stock (COIN) will continue to show strength and will cross $1.25, which will reflect the trend in its warrants, which I expect to double from here.

I also bought some UPG shares at $3.80. Universal Power Group offers its batteries and related power accessories under manufacturer brands, private labels, and under its own proprietary brands. I just bought it as a low float momentum breakout play after they partnered with K2 Energy Solutions, Inc., a developer and manufacturer of rechargeable battery systems for electric vehicles and energy storage applications. K2 provides UPG with exposure to the emerging market for electric vehicles, and serves as another platform for future growth. Read more here. My short term target is $5.

There are lot of other stocks that I really like but some I already missed at a very low prices like SHE and SBAY.OB

Stocks that need to be added to your watchlist - SHE, TRT, CPEX, EVK, HKFI.PK, CNAM.OB, GURC.OB, CMDI.OB, CREG.OB, CIWT.OB). Out of this list, I would buy SHE when she pulls back! and also SBAY.OB

I sold HPJ and NVMI after they reached my targets. I am still holding CYAN, ADK, ADK-WT (recently added at 2.15), AMCG, CHSQ-WT (Symbol has been changed from HOL-WT - My average price was .40 and it closed at $1.06 today after hitting $1.50 a few weeks ago. I will continue to hold since it has got a lot of upside over a period of time...)

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Friday, January 1, 2010

Happy New Year 2010!!!

I wish you all a Happy, Prosperous, and a 'Green Trading' New Year 2010!!!

BTW, I picked the following stocks in the last couple of days
  1. Bought ADK (Adcare Health Systems) at $3.80 (Pure Short Term Momentum + Breakout + Excellent IBD numbers (Composite Rating 93) Play. This stock had a nice turnaround and I think they will do well in the future. My short term target is $7), Read more here. It has warrants that expire in 2014, Read more here. There is huge opportunity to make money in warrants if the common stock goes up. Read more here

  2. Bought IDN last year 12/31! at $3.90. IDN Provides identity systems software for hand held devices. It came into the limelight after the recent terrorist attack on the Detroit bound plane, Read more here. I think there is still more room for this stock to go up based on the speculation that it will be upgraded by some analysts and also massive volume + Short squeeze should take this stock to somewhere around $6
A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Thursday, December 17, 2009

Mega gains from TMI-WT, HOL-WT, HPJ and CYAN

Here they are...

Ticker Symbol Alert Date Alert Price Price as of (12/16/09)% Gain/Loss
TMI-WT 10-18-2009 $1.81 $5.15 185%
HOL-WT 10-22-2009 $0.35 $1.23 251%
CIO-WT 10-22-2009 $0.40 $0.09 -78%
HPJ 12-02-2009 $5.50 $7.15(touched $9 on 12/14) 30%
NVMI 12-02-2009 $4.00 $4.6(touched $5.3 on 12/14) 15%
AMCG.OB 12-02-2009 $0.5 $0.75 50%
CYAN 12-09-2009 $4.00 $5.50 38%

CIO-WT is a sucker. Failed to close the deal with Australian company and the price of the warrants had plunged. They expire in 2012 but am not sure what they are going to do with the cash they currently have. I will keep you posted if I find any information on this one...

My new stock pick is LLFH.OB - L & L International Holdings, Inc., through its subsidiaries, engages in the mining, consolidation, and wholesale of coal in the People’s Republic of China. Read the remaining part here. They announced financial results for the quarter ended October 31, 2009 yesterday, 12/16. Earnings in the second quarter of fiscal year 2010 totaled $6.94 million, or $0.29 per diluted share, exceeding the prior-year period of$2.35 million, or $0.10 per diluted share.

Highlights for Second Quarter Fiscal 2010 Financial Results:

Revenues increased approximately 139% year-over-year to $24.48 million.
Net income increased by 195% year-over-year to $6.94 million.
Acquired 93% controlling interest in Hon Shen coking operations and an additional 28% of Hon Shen coal-washing facilities located in Yunnan Province.

"Strong results from our coal mining and coal-washing facilities will continue to add to our top and bottom lines in the second half of fiscal 2010," said Dickson Lee, Chairman and CEO of L&L. "With the acquisition of Hon Shen coking, we completed vertical integration for our coal businesses. We will continue to expand production at our coal mines and pursue strategic joint ventures. With revenues generated by Hon Shen and the expansion at our DaPuAn and SuTsong coal mines, we expect continued growth for fiscal year 2010."

This upbeat comments from the management makes me compare this stock with RINO, which moved from $2 to $35. LLFH will gain a lot more momentum once it comes out of OTCBB and gets up listed on Nasdaq.

Bottom line - The stock closed at $6.32 on huge volume. I would add a small quantity at the current levels and add some more on a pull back.

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, December 9, 2009

Buy The next growth stock - CYAN

Cyanotech Corp (CYAN) - Cyanotech Corporation engages in the cultivation, production, and sale of natural products derived from microalgae worldwide. It offers BioAstin natural astaxanthin, a dietary antioxidant for use as a human nutraceutical and functional food ingredient to support and maintain the body's natural inflammatory response, as well as to enhance skin, muscle, and joint health. Read more about CYAN here. Here are some of their products if you are familiar with, Please click here

CYAN Revenues for the second quarter of fiscal 2010 increased 20% to $3,925,000, compared to revenues of $3,274,000 for the second quarter of fiscal 2009. Gross profit was $1,762,000, with gross profit margin of 45%, in the current quarter compared to a gross profit of $1,378,000 and gross profit margin of 42% reported for the same quarter in 2009. Net income increased 267% to $599,000, or $0.11 per diluted share, compared to $163,000, or $0.03 per diluted share for the second quarter of fiscal 2009.

Management's comments:
"These results affirm the company’s strategy of focusing on and building sound business fundamentals throughout the organization,” said Andrew H. Jacobson, President and CEO. Improved production levels increased inventory, allowing better customer service. Continued cost containment delivered margin growth. Sustained high quality continued our nutritional leadership and our dedicated employees made it all possible."

"Sales of both of Cyanotech’s core products, Spirulina Pacifica® and BioAstin® Natural Astaxanthin, grew during the second quarter. The Company again delivered margin growth, resulting in higher income from the increased sales."

"We are looking forward to the complete roll out of our new Nutrex branding in the second half of 2010 and the introduction of a number of innovative products featuring Hawaiian Spirulina Pacifica® and BioAstin® Natural Astaxanthin," concluded Mr. Jacobson.

Analysis: This is a tiny float stock with huge potential to double from here. It owns famous suppliment drug brands like Nutrex, Hawaiian Spirulina, BioAstin etc..that you see in Costco and other wholesale shops. It is in the same line of business as CHBT (alerted on 06/09) but with huge upside potential. IBD Composite Rating for CYAN is 99, which is excellent!!

Buy before it is too late! I entered it at $4 and am expecting a nice return in short to medium term.

Today's Range 3.91- 4.13 52-Week Range 1.10 - 4.35
Shares Outstanding
5.25 Mil Float
3.75 Mil
Quarterly Sales % Chg
20%
Market Cap $20.00 Mil
Quarterly EPS % Chg267% 3-Year Sales Growth Rate16%
Quarterly Gross Profit
Margin %
42% Price % Chg. Last 4 Weeks 39%

Key Statistics from Yahoo Finance - http://finance.yahoo.com/q/ks?s=CYAN


A general Caution and Advise-As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Wednesday, December 2, 2009

HPJ and NVMI are in Bullish Trend

Hongkong High Power Technology (HPJ) - HPJ manufactures and sells consumer batteries and industrial batteries, which are designed for electric bikes, power tools, and electric toys. Read more here. In the 3rd quarter of 2009 they recorded a provision for income taxes of $529,200 compared with provisions for income taxes of $35,700 for the third quarter 2008 and $229,000 for the second quarter 2009. Read more about here

Net income for the third quarter of 2009 was $2.4 million, or $0.18 per diluted share, based on 13.6 million weighted average shares outstanding. This compares with third quarter 2008 net income of $289,400, or $0.02 per diluted share, based on 13.6 million weighted average shares outstanding, and second quarter 2009 net income of $969,000, or $0.07 per diluted share, based on 13.8 million weighted average shares outstanding.

Last Quarter EPS % Change 800%
Last 3 Qtrs Avg EPS Growth 263%
Next Quarter EPS Estimate % Change 350%

This stock will reach double digits if the same fundamentals continue in the coming quarters. IBD's composite rating for HPJ is 92. I added a small quantity at $5.

Nova Measuring Instruments Ltd (NVMI) - NVMI engages in the design, development, and production of integrated process control metrology systems, as well as design, manufacture, and sale of stand-alone metrology used in the manufacturing process of semiconductors. Read more here

Highlights for the Third Quarter of 2009
- Total revenues of $11.4 million, up 64% sequentially and 29% from the third quarter of 2008
- Gross margins of 48%, up from 41% in the second quarter of 2009 and 24% in the third quarter of 2008
- Record high quarterly GAAP net income of $1.7 million, or $0.08 per diluted share

Read Management's bullish comments here

As per IBD EPS changed 200% last quarter and IBD's composite rating for NVMI is 96, which is considered to be very good. Based on the future projections, this stock should be trading around $8. I entered NVMI at $4

Amico Games Corp (AMCG.OB) - Amico Games Corp recently entered into a binding share exchange agreement to acquire Galaxy Software Limited, a private Chinese company specializing in the development and distribution of multiplayer games for mobile phones. Once closed, this acquisition will give Amico access to the revenue and profits of Galaxy as well as expanded business opportunities in the mobile gaming industry in China, the world's largest growing mobile market.

Analysis - This is a risky trade because AMCG will see profits only if it acquires Galaxy Software otherwise all bets are off! If AMCG closes the deal successfully then I think the stock will shoot to $2 or eve more based on the positive financials, which will be released after the deal is done. I took a position at .52 today.

Management's comments: "We are thrilled to bring these two companies together," said Mr. Liu, president of Galaxy Software and Amico. "Galaxy has been successful in becoming one of the leading players in the mobile gaming industry in China and with the explosive growth expected out of the Chinese telecommunications market, we are very happy to be able to expose North American investors to an exciting, profitable and quickly expanding company."

A general Caution and Advise -As I always advise in my posts, Do not chase stocks. please keep in mind that I am not a Stock Market Analyst or an Investment Adviser to count on my recommendations/alerts. As always please do your DD before investing or speculating, start with a small position, always keep your stop losses in place and emotions out. Finally thank me for your profits but do not blame me for your losses because you are the one who pulled the trigger!!!

Who is Mr.Incredible?

My photo
New Jersey, United States
Mr.Incredible is a Momentum/Technical Breakout player who trades small/micro cap plays and who saw a 600% Growth since 2006, Yes even in this down market. I am going to post my real trades (including profits/losses) soon...As a general caution and advice Please start with a small position and always keep your stop losses in place just in case....As usual Do your DD before investing. Thank me for your profits and don't blame me for your losses because you are the one who pulled the trigger!!!