Penny Stock Soldiers (OTC tradeable tickers)/Momentum Plays

[ThePennyDoctor]

I decided to create a new board (for the most part, to document my own trading activities, but if ihubers like what I have to say in the boards description, there is an off chance this could become a useful board for others).

First update on OTC Tradeable Tickers (see how I define the latter term in the description of the board):

FNMA Fannie Mae 2.1000 0.3700 21.39% 36,242
FMCC Freddie Mac 2.0300 0.4300 26.88% 16,589

FNMA and FMCC move similarly (almost parallel – I have actually traded FMCC on the basis that it would catch up to FNMA a couple times with success) and it seems easiest just to pick one to play; I will go with FNMA b/c it is bigger.

FNMA looks good to trade tomorrow; should be volatile. I intend to ride the trend up or down. If gaps and runs, I would start buying. If dips and dumps, I would buy on a reversal. Not sure which way the action will go, but as of now, I would think up. I have posted on this one a lot on the FNMA board - I having nothing new to say today other than retail investors continue to be obsessed which is good as it helps drive volume and volatility. On a side note, the petition mentioned on many stock boards is a joke and should be ignored; why would the government listen to retail investors buying a stock, signing a petition, and then asking for a payout. However, if the dilutions of retail investors help drive volatility and the PPS, this should be seen as a good thing for traders. FNMA is like a self-created pump and dump – the best kind of tickers to trade.

As I will be focusing on FNMA tomorrow, I don’t have much to say about the other OTC tradeable tickers at this time. I am busy, and won’t post DD related to these tickers until I get a chance. Some very quick thoughts off the top of my head are below:

DUMA Duma Energy Corp 2.7000 0.2700 11.11% 653

This known pump and dump may have potential. For now, I will wait and see if it crashes Monday or has legs. Most P&D’s crash on day 1, 2 or 3 (usually day 1, and if not, day 2), and this one appears to have potential to go up on day 3, which would be a great sign. Will be important to check this ticker EOD. If not for FNMA, I would pay more attention to this one.

POLR Polar Petroleum 4.9700 0.5700 12.95% 651

This is a long running pump and dump I have traded for some small profits along the way. POLR had a nice run since Thursday morning, which I found surprising. Looks like a potential gap and run Monday. Care must be had with this one as the second dump should come soon and it is rare for a P&D to reach its old high after a first dump. Has potential to trade money, but FNMA is more interesting so I will just be watching the action for now.

VPIG Virtual Piggy, Inc. 2.8900 -0.1500 -4.93% 467

I played this for awhile until the trend broke; made a small profit. See my posts on the VPIG board. Although not a confirmed P&D, in my opinion, this is an insider P&D trying to inflate the ticker through press releases (similar to TALK and GNIN, which were fantastic plays - although these plays had a known promoter). I hoped VPIG would have big potential at one point, but for now it has been a dud. I will wait to see if can start climbing again before showing interest. If someone follows it closely, it has potential for a 20% bounce soon, although I would never buy without reversal confirmation.

NORX Norstra Energy 0.9300 0.0100 1.09% 356

This is a known P&D that I have traded recently for some small predictable gap up profits. This promotion has been going on for two months. Volatility and a clear trend are lacking; not interested right now.

AAMRQ A M R Cp 4.9900 -0.2700 -5.13% 3,151

This one is inherently over-valued (see the details of the merger agreement– there are lots of articles on this anyone can find). I have traded this ticker many times for small profits; retail loved the story and was seemingly confused over how to value it, thereby driving the PPS to irrational levels (common with a former giant in bankruptcy; Kodak made for a similar nice trade recently). A a recent down trend has formed and I don’t see a lot of profit potential in this one right now.

XUII Xumanii 0.3370 0.0176 5.51% 1,348

Everyone in OTC land better know that XUII is a P&D brought to us by the most successful P&D firm in the game, the infamous APS . I personally love APS tickers – made bank on TAGG, FARE, SWVI and GOFF. Although XUII has been a flop, APS should never be underestimated. I am not trading this one right now but would get interested if it closed over .42. Unfortunately, it seems this P&D was ruined by a degenerate lawyer whose name will not be mentioned on this board.

LOTE Lot78, 18.0000 -3.9600 -18.03% 533

LOTE makes penny stock soldiers proud; one of the most lucrative P&Ds of the year. Finally looks ready to crack. If I had time, I would watch it closer for a potential short. The ridiculous $1B market cap is a thing of beauty; my hats off to the scammers on this one. This stock would be the perfect case study for a P&D university course – even more entertaining than an APS scam.

FNMAS Fannie Mae Pfd S 6.1000 -0.1900 -3.02% 510
FMCKJ Freddie Mac Pfd Z 6.1500 -0.3000 -4.65% 328

I Prefer to play the more volatiles FNMA and FMCC. The PSs have more inherent value (tons of articles on this and I don’t feel like explaining why right now but it is a fact that the PSs have a much better chance of receiving some consideration post conservatorship that the CSs; this is common sense for anyone with a corporate finance background). I made money trading these back when they were under $1; I will have to look into it sometime why I missed the big run. I should have followed these more closely but kept giving up on them as they would start to trade sideways. Interestingly, for a time, one could make easy profits on these buying at the bid and selling at the ask – such easy arbitrage profits are rare.

Others

I don’t really know much of anything about the tickers below and probably should not comment publicly on them, but here were my initial reactions:

ACTC Advanced Cell Tech 0.0851 -0.0049 -5.44% 842

Ugly Friday chart - will wait to see what happens Monday. Ticker has been promoted in the past and is well known in the penny world.

CTIX Cellceutix Corp 2.1900 -0.0100 -0.45% 462