Supernova – Page 3 – Goode Trades

Trade recap for October 30th: How I made easy money buying the TNUS pump

I played TNUS well today, making $648 on a $4000 position. Sometimes it is better to trade small and hold longer, rather than getting scared out of positions because of an overly large position size.

Curious exactly how I decided to exit TNUS? Sign up for my email newsletter using the link to the right and you’ll be able to see a video of me trading TNUS while discussing it.

Daily profit: $659.00

Weekly profit: $2111.18

For your Halloween viewing pleasure, I present the pumpkin dance:

Disclosure: No positions in any stocks mentioned in this post. I have a disclosure policy and you can find all my disclaimers there as well; those disclosure & disclaimers are incorporated by reference into this post.

Why I bought pumped stock Total Nutraceutical Solutions (OTC: TNUS) at 4pm today

Right at the market close I bought pumped stock Total Nutraceutical Solutions (OTC: TNUS) at its high of the day, $0.95. It was already up 82% on the day. While I missed playing it earlier in the day I heard credible rumors that it was going to be the BestDamnPennyStocks (BDPS) pump tonight and I liked the way it was closing strong, so I bought 2,000 shares right after the market close (I made this trade as I was recording my daily trade recap, so you can see me make the trade).

BOT 2,000 TNUS false Stock (OTCBB) 0.9500 USD ARCAEDGE 16:00:34 9.50

Tonight I received the expected pump email on TNUS from BDPS:

My Huge 2009 Loss Eraser is TNUS

TNUS is a fairly new issue which means it has not been trading long as a publicly traded company.

New issues always fly once the spark ignites but you got to watch close for the technicals and time it perfect!

TNUS has been on my radar for 3 months and I have been waiting and watching close for these technicals to occur

Those technicals confirmed today and TNUS is about to ignite and should start running like wild fire starting tomorrow!

Notice The TNUS Chart the flat line with very little volume due to TNUS being brand new without a soul knowing about the stock.

Now notice the past four days of positive money flow and volume.

Today it really broke out and should keep running for another 4-5 days huge!

TNUS was on the #1 gainers list in the whole market today and I believe it could be on there tomorrow as well!

This right here is the beginning of TNUS igniting because the street is finding out and the company is ready to get the word out via various Investor Relation Programs.

New issue stocks are usually super low risk/ Super high reward stocks!

I Have two more emails coming tonight on TNUS with shocking info you can’t miss.

Okay, that is all bullshit; here is the part that really matters:

Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. ********************************************************* The disclaimer is to be read and fully understood before using our site, or joining our email list. PLEASE NOTE WELL: The BestDamnPennyStocks.com employees are not Registered as an Investment Advisor in any jurisdiction whatsoever. Full disclaimer can be read at http://www.BestDamnPennyStocks.com/legal_disclaimer.html Release of Liability: Through use of this website viewing or using you agree to hold BestDamnPennyStocks.com, its operators owners and employees harmless and to completely release them from any and all liability due to any and all loss (monetary or otherwise), damage (monetary or otherwise), or injury (monetary or otherwise) that you may incur. The information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of the available data. BestDamnPennyStock’s affiliates may from time to time have a position in the securities mentioned herein and may increase or decrease such positions without notice. BestDamnPennyStocks.com owners may or may not hold positions in the companies that are profiled. It should be assumed that the owners of BestDamnPennyStocks.com own positions in companies profiled and may buy or sell at anytime before during or after Investor Realtion services. BestDamnPennyStocks.com affiliates, and friends and family of BestDamnPennyStocks.com may have a position in such securities. The position may have been acquired prior to the publication of any website information or email alert. You should also be aware that the aforementioned parties do have the right to sell their positions at any time without further notification. Any opinions expressed are subject to change without notice. BestDamnPennyStocks.com encourages readers and investor s to supplement the information in these reports with independent research and other professional advice. All information on featured companies is provided by the companies profiled, or is available from public sources and BestDamnPennyStocks.com makes no representations, warranties or guarantees as to the accuracy or completeness of the disclosure by the profiled companies. BestDamnPennyStocks.com expects to be compensated $250,000 cash from third party Tiki Island SA. for a TNUS investor Relations Service. This is not a solicitation to buy or sell any securities. Any claims or Statements should be deemed apocryphal. BestDamnPennyStocks.com, nor any of its affiliates are not registered investment advisers or a broker dealers. [emphasis mine]

So I am impressed by the large sum of money ($250,000 cash, not shares!) put into pumping this. I believe TNUS could run up for a couple more days before collapsing. Of course, I hate holding pumped stocks, so I will likely sell my shares soon after the market open (and holding pumped stocks is risky and the company is certainly worthless in the long run, so I would not advise anyone to buy), but the further up this goes the further it can fall, so you know I will be looking for shares to short.

Looking for my watchlist? This is it … TNUS is going to be interesting, so I’ll ignore all the lesser stocks. One thing I have learned from the way I missed an easy trade on GGC is that I should ignore lesser plays whenever there is something truly great to watch.

Disclosure: Long 2000 shares of TNUS. I have a disclosure policy and you can find all my disclaimers there as well; those disclosure & disclaimers are incorporated by reference into this post.

Trade recap for 10/28: Banking on AMLM despite messing up

The pumped stock AMLM decided today would be a good day to die. Luckily IB had 30,000 shares to short this morning so I hopped on board that train right after the market opened. It was a no-brainer to short as it had broken support yesterday and it was gapping down today. By the way, COMV short on red was a great call from my watchlist although I was distracted by AMLM and did not play it.

+   SLD   2,000   AMLM   false   Stock (OTCBB)   2.000   USD   SMART   09:30:13       10.00
+   SLD   2,000   AMLM   false   Stock (OTCBB)   1.990   USD   SMART   09:30:34       10.00
+   SLD   1,385   AMLM   false   Stock (OTCBB)   1.990   USD   SMART   09:30:39       6.92
+   SLD   2,500   AMLM   false   Stock (OTCBB)   1.990   USD   ARCAEDGE   09:30:51       12.50
+   BOT   885   AMLM   false   Stock (OTCBB)   1.910   USD   ARCAEDGE   09:33:51       4.42
+   BOT   3,000   AMLM   false   Stock (OTCBB)   1.920   USD   ARCAEDGE   09:34:43       15.00
+   BOT   1,500   AMLM   false   Stock (OTCBB)   1.920   USD   ARCAEDGE   09:35:01       7.50
BOT   500   AMLM   false   Stock (OTCBB)   1.5700   USD   ARCAEDGE   10:02:25       2.50
BOT   1,000   AMLM   false   Stock (OTCBB)   1.5200   USD   ARCAEDGE   10:07:47       5.00
BOT   500   AMLM   false   Stock (OTCBB)   1.5400   USD   ARCAEDGE   10:13:54       2.50
BOT   500   AMLM   false   Stock (OTCBB)   1.5600   USD   ARCAEDGE   10:14:22       2.50
SLD   1,000   CTDC   false   Stock (SCM)   4.28   USD   SMART   12:16:15       5.00
+   BOT   1,000   CTDC   false   Stock (SCM)   4.320   USD   SMART   12:17:32       5.00
BOT   300   NPBC   false   Stock (NMS)   6.39   USD   ISLAND   13:59:04       1.50
+   SLD   300   NPBC   false   Stock (NMS)   6.360   USD   SMART   13:59:41       1.50
BOT   1,000   AMLM   false   Stock (OTCBB)   1.4300   USD   ARCAEDGE   15:26:53       5.00
+   SLD   1,000   AMLM   false   Stock (OTCBB)   1.420   USD   ARCAEDGE   15:53:30       5.00

Daily profit: $1364.95

My review of Tim Sykes' DVD TimTactics: Buy his other DVDs instead

If you have considered or will consider buying Timothy Sykes’ DVD TimTactics, I have some simple advice: do not buy it. I say this not because I think it is a horrible DVD, but because Tim has covered much of the information in his other DVDs. I do recommend Sykes’ DVD Pennystocking Part Deux and I thought TimRaw was pretty nice (full reviews to come later; I need to re-watch them), but despite this DVD including so-called ‘advanced trading tactics’ I found little in this DVD that was not also in those other DVDs. The advanced tactics that were only in this DVD were not particularly hard to figure out and I have learned most of them in one year of full-time day-trading. Also, if you are the patient sort, Sykes’ DVD TimFundamentals 2 will be coming out soon; it was recorded during his 2009 seminar in Las Vegas (which I attended) and I think that was an excellent seminar. TimFundamentals 2 plus Pennystocking Part Deux would give you 97% of the information available on DVD about Tim Sykes’ strategy (the seminar would be sufficient to learn his strategy, but Pennystocking Part Deux’s intra-day charts are invaluable).

Following is my full review:

Informational content: 2 of 5 stars. TimTactics is billed as advanced trading tactics, so I was hoping for strategies above and beyond what he showed in his other DVDs. For example, it would have been nice to see how he reads level 2 or time and sales. He did not show that. Also, any student of his who watches Livestock religiously and has followed his blog (TimAlerts or just his free blog) for a year or more likely will have learned many of his ‘advanced’ tactics, such as how the overall market affects penny stocks. This brings me to some advice that I have said and written multiple times: if you are cheap and are willing to invest a lot of time you can learn Sykes’ strategy without buying his DVDs. Of course, buying one of the better DVDs is useful and will save on time and help to speed up learning. And if that helps you to make more profitable trades sooner, it can easily be worth the investment.

A few tactics he had that he has not mentioned before were things I had heard from other traders or figured out myself, such as how to get faster OTC BB executions. Other than the tactic for faster OTC BB executions, the only tactic I had not heard from Tim before (or learned elsewhere in the last year that I have been a day-trader) was his strategy for trading after-hours or in pre-market trading.

Production quality: 2 of 5 stars. The resolution of the video is barely acceptable. All the video was screencast from Sykes’ laptop, and it started life as a webcast. However, there is no excuse for not recording and saving the full screen resolution without much compression rather than packaging the low-quality webcast video on DVDs. Likewise with the sound, it is far inferior to the sound quality on my daily trade recaps hosted by Youtube. Towards the end of the last DVD for a few minutes you can here someone else making noise besides Tim. While the production quality is not good, Tim is easily comprehensible and the viewer can still see everything important in the video, so if you are still interested in this video, do not let the production quality stop you.

Disclosure: I received TimTactics for ‘free’ for signing up to Sykes’ October 2009 seminar in Las Vegas. I have a disclosure policy that provides more details on other Sykes products and services I have purchased and my relationship with him. I have purchased other DVDs of his and I am a TimAlerts lifetime member; I have now made over $93,000 trading using his methods since June 2008. I am an affiliate of Tim Sykes and make money when people buy his stuff through my links.

How to trade the upcoming Doubling Stocks pump & dump

Doubling Stocks (along with a number of other stock promoters) pulled off one of the best pump & dumps of the year back in May by pumping UOMO Media Inc. (OTC: UOMO). The pump sent the stock from $0.35 to $1.00 in one day. I was too afraid to make money buying it (I actually bought it in the pre-market on the pump day but sold right after the open … a few minutes later it rose like a rocket), but I did make some money short selling it. All told, I made over $1,100 on it.

Of course, by being unethical losers, Michael Cohen and crew at Doubling Stocks made far more than that. They received only a measly $50,000 from a third party to pump the stock, but they bought 400,000 shares prior to the pump that they then sold into the pump. Tim Sykes had a good post on the pump where he copied the full disclaimer. A very conservative estimate of Doubling Stocks’ trading profit would be $140,000, if they bought at $0.35 and sold at $0.70. A more likely average buy price would be $0.25 as they probably bought over a week or two prior to the pump, with an average sell price right near the top of the pump at $0.90. If that was the case, then they made about $260,000.

Michael Cohen of Doubling stocks has been sending out emails about his forthcoming pump, which will come on October 30. Here is his description of his previous pump:

About 5 months ago, before
my last stock pick I said:

“If this stock doesn’t triple
within 48 hours I’ll RETIRE
as a stock picker”

What happened?

The stock rocketed from $0.35
to $1.06 in under 48 hours!

But this time he writes that the stock will take a lot longer to rise:

However, this time… I believe my
new pick will steadily climb to
its peak over a span of 14 to 21
days.

What does that mean? Of course, I cannot know for certain, but I bet that means that he is going to gradually sell his holdings into the pump to make sure that it rises slowly. Or, he could be getting paid a lot of money for the pump and whomever is paying him is planning on dumping a huge number of shares into the market, keeping the stock from rising much. If he gets paid enough money for this pump he won’t care if the stock goes up or not. He’ll be happy to screw his followers, because he can always build another pump and dump site. Such is what happened to StockPreacher last summer. No matter what, the risk of going long a pump such as this is high and I will likely not look to buy it. I will, however, look to short it aggressively, something I did not do last time.

Disclosure: No positions. I have a disclosure policy.

Watchlist for October 4th: Not much

Nothing exciting on watch. Seriously. This time I’m not just being lazy; I found no exciting setups.

LVCA has a nice breakout on Friday but I don’t play OTC BB breakouts. It is a pump (see the comments for details).

DYAI also a pump I think, on short watch, although I think it has another big up day in it. (Thanks to Preston for bringing it up in the comments below. I added it to the watchlist in response to his comments.)

Here is a chart of GSAE for posterity.

Disclosure: No positions. I have a disclosure policy.

Update on trading Tim Sykes' system

My fairly consistent profits from trading using Tim Sykes’ system have continued. Despite some sketchy trading, my profits have been helped by the plethora of pump and dumps recently and me scalping TimAlerts for quick profits (in fact, my recent trade of RODM nearly paid for the TimAlerts lifetime subscription that I bought a year ago). I thank Tim for all he has taught me and I heartily recommend his Pennystocking Part Deux DVD to anyone who wants to learn how I and he trade stocks.

(click chart to enlarge)

Note that the profit on this chart does not include the profit from my watchlist longs, which are definitely in the style of Tim Sykes. As I write this I have accumulated $1770 in profits in that strategy over the last 40 days. See my recent detailed report on how successful those trades have been.

If you like more detailed statistics, here is a histogram of my profit margin on Sykes-type trades:

(click chart to enlarge)

Unfortunately I am not the most experienced with creating histograms in Excel. No trades fall below the -16% return bin, but eight trades generated more than 22% profit (they are just thrown into the 22% bin; the largest profit margin was 51%).

Disclosure: See my disclosure policy.

Trade recap: A plethora of errors

Today was a horrible day. Not because my loss was huge; rather, it was acceptable. It was horrible because I messed up what should have been an easy trade. I even messed up pronouncing “plethora” in the video. Despite following EMGE closely over the last two days and seeing the exact same pattern play out a week ago in GVBP, I messed up the trade completely.

Daily profit: ($1487.99)

Weekly profit: $192.74

Disclosure: No positions. I have a disclosure policy.

Watchlist for September 24: EMGE is the next pump!

Now that the previous big pump & dump, Genova Biotherapeutics (GVBP) has been halted by the SEC, it is time for the next big pump. I present to you, ladies and gentleman, Emergent Health Corp (Pink: EMGE). The stock is up 120% in two days now on modest volume of 700,000 shares per day. Why? Because they have a magic potion that will “revolutionize the vitamin business.” This magic potion is some random chemical or chemicals that they will add to a multivitamin. What will it do? Who knows? The company’s explanation makes no sense:

The company plans to introduce an adjuvant formula that enhances existing vitamin products currently on the market to assist in the production of normal cells.

If this were a legitimate product and not snake oil, the company might point out that the Vita-Stim Adjuvant(TM) improves the body’s absorption of vitamins (something that would be quite helpful and potentially lucrative). Instead, the company had this to say:

Our Vita-Stem Adjuvant(TM) compound stands to revolutionize the whole vitamin industry, as breakthrough adult stem cell based discoveries are further studied and introduced, providing high potency, scientifically researched regenerative properties to existing vitamin brands. It is predicted that today’s vitamin products will eventually become obsolete.

Yes, my friends, this company is putting stem cells into vitamins! Either that or they just cobbled together a bunch of pseudo-scientific babble for their press release (that seems more likely to me). This is a short on weakness or a long on strength, although considering it has already had a couple up days I probably won’t try taking it long. (Check out the company’s financials [pdf]: they had $90,000 in revenues in the past 6 months yet have a $40 million market capitalization, per Pinksheets.com)

ILI – They had really sketchy positive drug-type news on a small study. I would short on red, long on green. I am not sure which way it will go so I probably won’t trade it.

FTBK – Still short-biased. I did not like its choppy action today, though. I traded it today for $200. See my writeup on it from yesterday.

Disclosure: No positions. I have a disclosure policy.

Trade recap for September 15th

It appears that it is still not too late to sign up for Tim Sykes’ Las Vegas pennystocking seminar on October 18th and 19th. I will be in Las Vegas from Saturday October 17th until Tuesday October 20th and I will be staying at the Excalibur (yay for cheap rooms on the strip!). The seminar is truly a great deal as I explained in my earlier post on 8 reasons why you should go. For an investment of only $847 you get to attend a seminar that lasts for two full days (if you cannot attend, Tim offers the option of seeing a live webcast of the event), you get to meet such great pennystockers as myself and InvestorsLive of the InvestorsUnderground.com penny stock chatroom (not to mention Tim Sykes), you receive DVD recordings of the entire seminar, you receive one of Tim Sykes’ DVD packages of your choice, and you get to attend the wild and raucous pennystocking party Tim will hold at the end of the seminar day (at which I have foolishly pledged to buy a round of drinks for everyone and Tim Sykes will be goaded into doing likewise). So don’t be a party pooper and sign up for the Vegas seminar today!

Today I suffered more pain on GVBP as the pump continues. I cut my losses as it hit new highs late in the day (at $0.63); this was definitely the right choice as it quickly thereafter squeezed to $0.81. I had a nice little trade on RAME that was a nice breakout above $1.12; I wouldn’t have even noticed that had Investorslive not mentioned it in the InvestorsUnderground.com stock chat. I also shorted CNWI and will hold that for a few days or until it dumps … it is another pure pump & dump like GVBP but its upward momentum is already gone.

Daily profit: ($3,893.60)

Despite today’s loss I am currently in a week-long drawdown (in other words, I am back to the profit level I had a week ago).

Disclosure: Short 10,000 shares of CNWI. I have a disclosure policy.