TRANS GLOBAL GRP Dies Today

TRANS GLOBAL GRP is the sub penny stock we briefly mentioned last week.  Today it broken down badly and on high volume below what we defined as a critical holding point at .0006 or higher.

TGGI was not able to hold up trend line support as we said is must do in order for it to remain bullish and get a new leg higher.

We are making this post on TGGI not to come off sounding like a wise owl or ‘I told you so’.  Observing why and where penny stocks fail is just as important as feeling great about penny stock moves that break out and are successful.  If we do not take the time to go over what has failed and WHY in penny stock land then how on earth is any one going to learn anything ?

Most other penny stock sites just focus on the winners.   They do not take the time to look at in depth why certain penny stocks failed and the REASON WHY they failed.  Instead they just keep quite about them and hope you will forget.

Here at penny stocks penny stocks dot com we take a different approach.  We think it is important to look at the winners and the losers as  means to fine tune timing techniques.  It is just like anything else in life.  If you don’t learn from your mistakes then how will you get any better at something in the future ?

So getting back to TGGI.  It is important to point out that what TGGI should have done near the up trend line of support was show us a very quick and convincing upward reaction that showed a sign of strength, a reversal candlestick formation or at least some sign that it was not interested in lower prices.

It was not able to show us or prove itself and thus is now headed into the recycle bin.  Notably today’s break down was also on quite heavy volume.  Also notable is that RSI was not able to hold 50 level and is now into more bearish territory below the 50 range.

The best attitude to take with all penny stocks is that they MUST PROVE THEMSELVES to you.  They must really show you with almost no doubt that they have inner strength and will conform to your supportive rules.  Most of them don’t conform and end up turning out like TGGI.  But some of them do and those are the ones where it is best to focus all energy in our opinion. . .

So lets remember TGGI as a useful penny stock lesson if you will.  The more we can learn about the “fail or pass” behavior of these stocks the better off we are . . .