Easy Way To Spot a Chat Pump

How do you know if a fast-spiking stock is a chat pump?

I’ll share the easy way I use to recognize chat pumps every day. But first, a quick review of how a chat pump works.

Discover How To Grow Your Small Account Without Falling for Chat Pumps

The Big Picture

Modern chat pumps happen in Discord servers, Telegram channels, and private chat rooms.

Some fake guru starts going on about how XYZ stock is just about to land a big contract, or they’ve got a new product launch coming.

Oftentimes it’s flat-out lies. But occasionally, the guru will just pick some cheap stock with fluff news and pump it to his chat room.

Of course, he does it after he’s already bought shares. Then, he sells into his followers as they pile into the stock. Once the buying frenzy is over, the stock tanks.

Now, you can go into all those chat rooms if you want. I don’t – and I don’t recommend it.

99% of it is noise.

Also, it’s really easy to get influenced by other people, especially when you’re new. That’s my biggest fear for you.

Look, I could go in those rooms and be like “that’s BS, that’s BS, and that’s BS” because I’ve got the experience to recognize it.

But when you’re new, you can really get sucked into drinking the Kool-Aid.

So, when it comes to hanging out in these chat rooms, I would recommend you don’t, okay?

Again, you can. But to me, it’s all just noise.

Now, here’s what I do….

Watch STT Breaking News

For example, yesterday (Sept 24), Apimeds Pharmaceuticals US Inc. (AMEX: APUS) popped after its subsidiary, MindWave Innovations, announced it signed an agreement to build a blockchain platform for AQUAE Holdings.

Now, I didn’t need to go digging for that information because the STT Breaking News guys are the best in the business.

Important to our discussion today, STT BN chat alerted the real news AND the chat pump (all within a few minutes).

I didn’t have to do anything. I didn’t have to read any crazy chat room BS from fake gurus who front-run their followers, or sift through what was real and what was fake.

Here’s how it played out:

I say it almost every day, but it deserves repeating: the STT Breaking News guys are the best in the business.

My Take

What’s nice about STT Breaking News is that it just tells you what these guys are pumping.

To me, it’s an ideal situation. I want to know if a stock has a real catalyst. But I also want to know if it’s getting pumped. I want to know what they are doing without wasting time reading all the BS along with it.

Watchlist

Keep APUS on watch. It rotated the 563k micro-float 120x by noon yesterday. Remember, trade ‘em, don’t date ‘em.

Today’s pick is Profusa, Inc. (NASDAQ: PFSA), another micro-float that spiked yesterday on positive GMED (medical device) certification news.

Yesterday’s Oracle signal was $3.65 with major resistance at $4.30.

As long as PFSA continued to consolidate yesterday, I like it for a day-two continuation. Watch for breaks over yesterday’s Oracle signal. Be aware the company recently approved a reverse split that is yet to take effect.

On My Radar

• Facing regulatory hurdles and local opposition to a data center, Oracle effectively said “build it or don’t get paid”
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• Meta Platforms unveiled Muse Charm this week
• Competition is on the way. Higgins, are you ready to get mobile?
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