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Daily OTC Markets Preview – 07.06.2013

Daily OTC Markets Preview – 07.06.2013

Posted: June 7, 2013 in :Uncategorized with 0 comments

Yesterday the OTCM ADR index finished slightly higher following the example of other major US stock market indexes. Today investors who are playing on the OTC Markets may not have many opportunities for speculation prior to the market open, as there have been only a couple of promotions and news releases issued so far that can stir the small cap segment:

RJDG logoRJD Green Inc. (RJDG) –The highest paid promotion today is dedicated to RJDG. The campaign is led by Damn Good Penny Picks and Penny Stock Newsletters who have disclosed a compensation of $25,000. Moreover, the promoters who had already promoted RJDG earlier this week and were compensated the total amount of $750,000 continue spreading their newsletters as well.

However, as we wrote earlier, RJDG looks like a pump and dump scheme similar to the one which afflicted the stock of Primco Management Inc. (PMCM). Thus, in the last two trades RJDG stock kept being inflated by promotional air.

RJDG chartOn Wednesday, when the company was promoted for the first time, the stock finished 80% higher on a volume of approximately 12 million shares. The next day RJDG went up another 7% to $0.193 per share.

Apparently RJDG still looks undervalued to investors with its market cap of only $7.2 million. However, shareholders of RJDG may find it wise to hedge their positions in the company as much as possible, so as not to get burned if third parties, who had provided more than $750,000 for the promotional campaign of RJDG, decide to dump their RJDG shares on the open market.

 

MISM logoMission Mining Co (MISM) – MISM will trade today under the influence of a paid promotion. The campaign was started yesterday after the closing bell and has so far involved more than a dozen stock promoters.

Part of these promoters had been sponsored by a third party called ALG Financial LLC, while the sponsors of the rest promoters remained anonymous. The total compensation for the campaign has reached $9,500.

In addition, today MISM issued a press release which announced that the company had started the process of drafting and filing its registration statement on Form S-1 in order to become more transparent as part of its long term goal of up-listing on a higher exchange.

MISM chartMISM was promoted one week ago when it surged 23% to $0.105 per share on a volume of 124 thousand. This week MISM stock didn’t post any sharp price moves and retained a stock price of $0.1 per share.

Currently MISM stock trades above the 50-MA and is staying close to the 200-MA. Apparently this technical set-up has aided the promotional efforts and has formed a positive attitude in investors. However, this is valid only for the short term and MISM may at any moment demonstrate the volatile nature of promoted stocks.

MISM is a gold and silver mining company traded on the OTC Pink Current Information market. It currently holds a market cap of $3.9 million and as of March 31, 2013 had 399 million shares issued and outstanding out of 750 million authorized and a public float of 11.5 million shares.

 

LIGA logoLIG Assets, Inc. (LIGA) – Today LIGA announced it had filed a new attorney letter at OTC Markets in order to add additional transparency and validation of LIGA’s net assets. Two days earlier LIGA issued a press release announcing the company’s aggressive growth plans and updates.

LIGA chartOn that day LIGA went up 6% to $0.005 per share on a volume of 4.4 million shares.

LIGA stock has been moving in a neutral trend within .0075 and .01 since March. This channel was broken for a short time by a sharp price spike in early April, which sent LIGA stock up to $0.03 per share. However, it didn’t take long for the market to correct this gain and LIGA soon went back to its former price channel.

LIGA is an investment company which focuses on the real estate, commodities and oil and gas sectors. It is traded on the OTC Pink Current Information market where it holds a market cap of $914 thousand.

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