Consumer Price Index numbers crashed the market yesterday. But the great thing about penny stocks is they don’t always follow the macro news. Yesterday was a great example of that…
The themes in penny stocks are powerful.
And right now, there’s one that created multiple 100%+ gainers. Even while the markets tanked!
These aren’t some obscure stocks trading wildly that you can’t capitalize on. It’s all about being in tune with the market and what everyone’s looking at…
Then we trade simple patterns that repeat.
Here’s what’s working and the pattern you could’ve traded in yesterday’s 160%+ gainer — yep, even while the markets dropped 4%+…
The crypto event that could shock the industry was moved up — don’t miss out on all the details TONIGHT!
The Reverse Split Theme
When a company does a reverse stock split, the overall value of the company stays the same, but its float is smaller and the price per share goes up.
Combine a low or micro float stock with news and high volume — and you can see incredible gains.
Stocks moving on news of a reverse split was a theme a few years ago. Then people moved on to the next theme and other hot sectors took hold.
But the theme is back! And we’ve seen a few examples of it over the last two weeks…
Three Reverse Split Winners
After the split, PIXY only had about 300,000 shares in the float. And when it announced a spin-off of its ShiftPixy Labs to a wholly owned subsidiary, the stock traded high volume and soared from roughly $12 to almost $40.
Then last Friday, everyone on Twitter was calling Aditxt, Inc. (NASDAQ: ADTX) the next PIXY…
I told my weekly watchlist subscribers to keep it on their radar this week.
It went from roughly 17 cents to 40 cents — that’s a 135% gain!
But the biggest one-day winner from this theme so far was NeuroBo Pharmaceuticals, Inc. (NASDAQ: NRBO) yesterday.
The Breaking News Chat team alerted that the reverse split would take effect overnight on Monday.
I said in yesterday’s morning SteadyTrade Team webinar that it was “today’s PIXY.”
But instead of waiting for the afternoon, NRBO had a dip and rip and took off right near the open.
If you put in $2,300 and bought 100 shares of NRBO when it broke the premarket highs at $23, and sold at $60, you could’ve made $3,700! That’s a 160% gain. But you would’ve had to hold through some painful halts…
Big moves like this are why I love low-float stocks.
And to catch them, it’s so important to be in tune with the market every day. Know what’s working and what themes and sectors are hot. Have the right tools to alert you when a stock fits that profile and know the patterns to execute…
You can learn it all with me in the SteadyTrade Team.
And test-drive StocksToTrade’s Breaking News Chat now so you don’t miss the next big runner!
Have a great day everyone. See you all back here tomorrow.
Lead Trainer, StocksToTrade