Top Promoted Penny Stocks: SNET, BMSN

Yesterday investors preferred to avoid risks due to the controversial signals coming from the Fed regarding its monetary easing policy and also to the fact that the US are approaching the debt ceiling, which apparently will have to be lifted for the government to avoid defaulting.

In light of this facts, yesterday the US stock markets demonstrated a volatile nature and eventually investors found a safe haven in technology stocks. Thus, while most of the benchmark indexes registered declines at the closing bell, the Nasdaq registered a modest increase.

Investors’ uncertainty could also be perceived on the OTC Markets, where the OTCM ADR Index posted a decline of 0.04% at 1,515.17 points.

Today, there are no significant economic news apart from the expected release of Durable Orders and New Home Sales data. Therefore, the mood on the US market will most likely continue to be formed by speculations about Fed’s economic stimulus and the approaching debt ceiling.

Market speculators playing on the OTC Markets will also have to keep an eye on any significant promotional campaigns initiated after the last closing bell. In this regard, we provide an overview of today’s biggest market awareness campaigns on the OTC Market:

SourcingLink.net, Inc. (SNET) – Today, SNET got promoted by one of the big sharks in the stock promotion industry – Stock Mister. So far online databases have registered only one newsletter touting the company for the day.

In details, online records show that the current campaign on SNET had cost $50,000 which have been provided by a third party called M and M Asset Management Group. The last time the company got promoted was on Aug 19.

Historical data shows that on that day SNET generated insignificant trading interest towards its stock as only 33 thousand shares of the company’s common stock changed hands which is way below the monthly average.

The reason why the market remains indifferent to the pumping efforts on SNET is the fact that the stock experienced a severe crash recently which reduced the company’s share value from $0.40 to $0.05 per share in a matter of three days.

Ever since the crash happened the trading volume melted away, so SNET has been traded thinly for more than a month now. Subsequently the stock entered a consolidation phase which has been limited within a trading channel between $0.10 and $0.05.

Regardless of this fact, penny stock promoters obviously still take the challenge of touting SNET in exchange for a decent compensation. Thus, today, market speculators are facing another campaign on SNET which, by the way, has been supported by a press release from the company.

A couple of hours ago, SNET announced that it had obtained the analytical data of two samples of lake bottom sediments taken from an area within its current property as part of a major regional Quebec government sponsored survey.

It is very uncertain whether the campaign will manage to bring some life to the faltering stock. On one hand, investors can be deceived that SNET can be a bottom play at this stage, but there is still room for the company to devaluate even with a market cap of only $8 million. On the other hand, the wavering performance of the general market will render highly speculative trades, such as SNET, even more unpredictable.

Bio-Matrix Scientific Group, Inc. (BMSN) – Today, BMSN may see much more trading activity around its stock, as the company has just issued an announcement which may provoke the interest of penny stock speculators. Moreover, along with the newly issued press release the company is also an object of a significant market awareness program.

BMSN got promoted yesterday after the closing bell by several well-known websites, which include Damn Good penny Picks, Penny Picks and Penny Stock Newsletters. The total compensation, which had been provided by an anonymous third party, sums up to $35,000.

BMSN has been consolidating since the start of August within a trading channel between $0.0025 and $0.0033. There is a chance for BMSN stock to break out of this trading channel if the promotion and corporate announcement manage to catch the attention of market players. However, if the third parties sponsoring the current promotion of BMSN are holding a large number of BMSN shares, ready to be unloaded once the stock gets hyped enough, then the whole trade may turn not very profitable for common investors.

Earlier today, BMSN sent out a press release which announced that its subsidiary, Regen BioPharma, was developing research plans for its breast cancer immunotherapeutic product, dCellVax. Thanks to this announcement and the promotional campaign, BMSN faced an increased demand for its stock at the beginning of the trading session.

Speculators who are interested to play with BMSN stock may have already noticed an important insider activity which happen approximately two weeks ago. According to an 8-K form, on Sept. 13th BMSN CEO Koos Raymond had purchased 60 million shares of BMSN common stock at $0.002 per share, which equals $120,000 in dollar amount.