green penny stocks - tag category postings

SSOL had an ‘E’ added to its stock symbol today because it was late in filing its recent SEC documentation.  The stock sold off big time, down almost 40% today.  In a previous post I indicated that SSOL was worth watching but that it needed to prove itself.

This penny stock looked like it was warming up for another huge upside move and the creation of a handle of a cup and handle chart.  I thought it might start to move today and break the recent down trend line of prices.  But then this late filing issue came up and it looks like people panicked out of the stock.

I don’t know what the issue is with them filing late but it is usually not a very good sign and a sign of irresponsibility or sloppy management.  I have to admit that I was somewhat skeptical how they issued almost every single day a new PR on a new contract that they won.  It just seemed too scripted.

Anyway, SSOL looks completely broken now and any potential cup and handle pattern is now completely invalid.

Some penny stocks setups just do not work out no matter how perfect they may seem at a certain point in time.  One always has to keep an eye on key levels and let the stock prove itself.  Also watch for important price candlestick reversal patterns and do not hang on too long if they are warning of an important reversal.

There is not such thing as ‘trust’ in penny stock land.  Just ‘guarded optimism’.

It could very well be that SSOL recovers next week but for now I think the damage is bad enough.  I do not think it will be able to recover from current levels.  It will probably get some kind of upside reaction rally but now the .0166 level is heavy resistance.

I prefer to see penny stocks hold their shallow retracements and then get new follow on moves to the upside.  SSOL failed in that regard badly today.

SSOL Sunvalley Solar Inc may be in the process of forming a cup and handle formation.  Solar penny stocks and green penny stocks are benefitting from currently favorable momentum.

SSOL made a nice move from about .005 to .03 range but then started consolidating after hitting a previous important swing high.  Sunvalley Solar Inc was releasing a barrage of press releases about new ‘solar installation contracts’ almost every day for 10 straight days and it pushed the stock price up substantially.  I have to admit that I thought it somewhat odd that they were releasing press releases seeming every single day for so many days in a row.  These contracts must have been secured well ahead of time and they must have just decided to release them in a barrage like that to give the stock price maximum effect.  That is my contention.

So now the ‘solar installation contracts’ press releases have dried up for now and they probably have quite a bit of work on their hands getting them all installed properly.

The website of Sun Valley Solar looks quite professional but the one thing I will never quite understand is why these micro cap companies do not place directly on their homepage a very large and obvious ‘ORDER NOW’ button or ‘request more info’ or something like that.  Instead one has to dig through all kinds of menus to get the order process going.  They do have a button which states ‘how to get started’ which seems to be on the right track.

This solar penny stock is still ‘conditional’ to me in that we do not really have any confirmation that it will evolve into a cup and handle pattern.  But from the chart above you can see that we have a cup and handle neckline (green dotted line) and the current retracement is so far at a 50% fibonnaci retracement level of the entire advance.

SSOL may still drift down further and that remains the risk here.  SSOL needs to show a sign of strength above the solid white down trend line to give a first sign that it wants to evolve the ‘handle’ of this potential cup and handle pattern.

Ideally SSOL will not retrace down any lower than .015 level.  I would view that as maximum down side in order to keep a chance this could evolve bullishly again.

The moment of truth for any penny stock is the retracement after the initial big move.  If it has the right qualities then it will find a way to initiate a third rally upwards again.  So far SSOL has not given this indication.  Penny stocks penny stocks dot com will be watching SSOL closely and provide further updates as warranted.

Evcarco Inc has turned into a MONSTER green  penny stock.  Here at penny stockspennystocks.com we mentioned EVCA on Tuesday February 8th, 2011 at .023 cents.  At the time we were not giving it a full endorsement, just indicating that it should be on the radar screen.

We also indicated that EVCA could possibly become a good better risk reward buy if it pulled back to the .016 range as that was a previous supportive shelf.  EVCA was never able to achieve that pull back and instead the next day formed a doji candlestick which is essentially a pausing pattern.  The next day this doji was fully engulfed bullishly.

Volume throughout the entire previous 10 days move has been solid and steady.  The solar and green energy sectors are also generally speaking in a good momentum right now and we are seeing many green energy stocks behaving quite well (not just green energy penny stocks).

EVCA may pull back from today onwards as it is right under an important resistance zone under .10 cents.  Having said that, EVCA does have a small float by penny stock standards, so any pull back from here could be a short affair.  If today EVCA can hold .07 range then it may have a bit more to go, but for now I still think .10 could serve as a ceiling for this stock.

But the move from .023 to .09 or 291% was clearly an outstanding upside move.

Here at penny stocks penny stocks we have picked some huge winners, but you will also notice that our frequency of picks is very light.  Most other penny stocks sites, message boards and other services throw a huge QUANTITY of penny stock symbols in your face week to week.  But we believe that QUALITY  if much more preferred in this sector.

Any penny stock site that throws quantity out at you can always brag that they picked some huge winners… Well guess what, I can throw 100 penny stock symbols at you this week alone and I can almost guarantee you that I can then brag that I gave you one or two 100% upside winners!

I would much rather hear from a penny stock service that delivers to me 1 to 5 picks per YEAR that have a much higher probability of succeeding than one that delivers to me 1 to 5 thousand picks per year.  It is all about focus and the ability to know and see a good pattern when it presents itself.

Timing is extremely important in the penny stock sector because this is the type of sector where if your timing is slightly off, then you will have to go through a possible 10 to 50% draw down before the position can (possibly) move into profitability. 

So in summary, focus on penny stock sites that focus on technical analysis, focus on quality and are patient enough to deliver quality over quantity…  The ‘fundamental’ aspects are penny stocks are also important but much less so than technical analysis.  The ideal situation is to weight each factor appropriately enough for the perfect ‘mix’ that makes for a superb penny stock setup.

TRANS GLOBAL GRP (Public, PINK:TGGI) has a reasonably good looking penny stock chart.  TGGI is a sub penny stock trading at .0009 right now and has robust volume recently and a nice saucer type bottom formation.

I am not giving this penny stock the highest rating of 1 on the penny stock rating system but it is still worth a mention as a possible mover in the next few days or weeks.

Trans Global Group positions itself as a green penny stock with a few interesting products and also recently acquired Full Spectrum Media which has a catchy type product called ‘sexlets gum’.

So it seems to have at least a little bit of ‘buzz factor’ that penny stocks tend to need sometimes to keep a good trend going.

Anyway, the most important thing is the stock chart.  The chart seems to be saying that TGGI wants to continue in a slow and steady uptrend.  But in order for it to do so it will have to break and close above .001 in the days ahead.

If you look at the chart below you can see that TGGI has traded high off of a small flat base and formed a series of falling flag patterns.  Each time it has managed to break out above them with breakout type volume.

This is what one would want to see again in the days ahead to confirm that another new mini up leg is about to start.  This green penny stock does not tend to get a break out move going for more than 2  to 3 days at most and this is a very important consideration.  Assuming it does get a breakout north from the recent consolidation, it will need to overcome the August 4th and August 5th swing highs which were both on extremely heavy volume.  This is not easy to do.

There is always the risk that TGGI can continue to trade down deeper into this declining wedge flag formation and never get a breakout going.

The two horizontal green dotted lines I have drawn in the chart show that the price of TGGI recently was halted at .0011 resistance and has now consolidated.  This is a very common occurrence when a penny stock hits overhead resistance.  The KEY to watch for is how it REACTS to this important overhead resistance and to SEE if buyers can come in.  If the too many sellers exist then the penny stock will fail and fall down much DEEPER and even back to the all time lows.  This would show the penny stock is not ready for a new uptrend.

However if TGGI can maintain composure here and get a break out into the green shaded area then it could make a run for .0018 range which is next topside resistance.

The heavy volume is a good sign, it is supporting this penny stock, but a breakout from the recent falling wedge is not a breakout until it actually happens, so caution is still advised on this green penny stock near term.