What a comeback by the Vikings! Which got me thinking about the huge COSM comeback Friday. So I did a video lesson (below) to show you why.
Lots to discuss tonight, let's dig in.
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Last Friday AMAM went from $.41 - $4.54 or an amazing 1,007% inside the same day! That's one heck of a day trade if you caught the move early. I was in the Lightning Alerts chat room when the AMAM news came out and quickly alerted it at $.56 just 4-minutes into the move. I even recorded it live → watch the 3-minute lesson here.
Then on Thursday, after a resting phase, which is common for breakouts, AMAM caught momentum again, this time running from $1.92 - $3.10 overnight. A solid 62% swing trade. Naturally it was on the nightly watchlist Wednesday and Thursday.
Jason Bond, "AMAM - Recent news winner. Hovering around the 61.8% fibonacci retracement headed into Thursday there's now a range between $2 and $4 for this trade. The company has 13.8 months of cash left based on quarterly cash burn of -$20.1M and estimated current cash of $92.2M. Overall offering risk according to Dilution Tracker is medium. Stop loss is below $1.90."
You better believe I got an alert out to Lightning Alerts subscribers on the RagingBull APP and email, Thursday into Friday.
Thursday December 15, 2022 11:53A ET
LIGHTNING ALERTS! Trade Idea: AMAM is triggering. In play above $1.90, range to $3.
Friday December 16, 2022 10:02A ET
LIGHTNING ALERTS! Trade Idea: AMAM has hit targets.
This is a great example of a breakout (rocket) into a continuation pattern (rest phase or pennant).
Notice how I didn't claim victory over the 1,007% move → despite alerting it at $.56 cents that morning. That's because it's unrealistic to try and hit a 1,000% move. As you saw in this 3-minute lesson showing my alert at $.56, it was pretty clear at the time $1 was likely to happen, which to me is a realistic goal $.57-$1, maybe $1.50. Going for homeruns just isn't a repeatable strategy.
There's only one other pattern I play and that's the breakdown. In fact, I did a pretty good short lesson on penny stock breakdowns right here. Breakdowns happen a ton in penny stocks and can lead to some monster moves, like COSM Friday which crashed from $8.55 - $2.86 before rallying from $2.86 - $23.01.See, penny stocks just aren't good companies, so they crash all the time, causing overreactions to the downside, followed by big juicy bounces. This is Friday's price action, ya, Friday! Not a week, not a month, just Friday, represented by 10-minute candlesticks. Which is why I love my dead cat bounce strategy.
So here's the deal. I load up my penny stock scanner every morning and look for momentum stocks in the live streaming chat room. Like the monster AMAM 1,007% rocket. The newsletter, with swing trade ideas, like AMAM Fibonacci, comes out each evening around 8P ET.
Then the alerts fly during market hours to the RagingBull APP and email. If you'd like the day trades and swing trades join Lightning Alerts. I'm nearly certain you'll love it and be glad you did.
Subscriber feedback from Friday says it all:
"JB: love your newsletters with Fibonacci retracements!" ~ Andrew
"Newsletter is outstanding!" ~ Bsuggs
"Hey JB, what an amazing newsletter / writeup you put out for your subscribers summarizing watchlist and levels. It is very useful to me and I read it entirely. This is "the" only service that I have seen where the expert is truly focused on teaching. We are blessed to be subscribed to the service." ~ Optimistic
"Great job on the newsletter JB." ~ Don
"@JB, I really appreciate the time you put into the newsletter! Informative and well thought out! You are working brother - and it shows!" ~ David
Of course results may not be typical and may vary from person to person. Making money trading takes time, dedication, and hard work. Limited-Time Offer
SAVE 70% on Lightning Alerts PLUS get Monday Movers, Daily Strike, and my Hidden Gems newsletters at no-cost when you join today. Jason Bond
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