2021 started off with many OTC penny stocks in the red. Anyone that has followed us here at Insider Financial and watched our YouTube videos knows, we’ve been saying that selling was coming.
2020 was such a banner year that folks like us and our subscribers that have big gains waited until the first trading day of January to book profits. This allows us to pay the taxes on those profits next year.
This is why some 2020 big winners like Alpine 4 Technologies (OTCMKTS: ALPP), American Battery Metals (OTCMKTS: ABML), Enzolytics (OTCMKTS: ENZC), DSG Global (OTCMKTS: DSGT), Tesoro Enterprises (OTCMKTS: TSNP), and Cerebain Biotech (OCTMKTS: CBBT) all closed in the red on Monday.
The good news thou is that there are always runners. As we have said repeatedly, it’s important to have a diversified portfolio of 10 to 20 penny stocks to offset red days like Monday. It’s also important to own more of what’s moving and less of what’s not.
3 OTC penny stocks still on the move are Galaxy Next Generation (OTCMKTS: GAXY), ISW Holdings (OTCMKTS: ISWH), and Tauriga Sciences (OTCMKTS: TAUG).
In this article, we take a look at what’s happening with OTC penny stocks GAXY, ISWH, and TAUG. We also give some insight on how to trade penny stocks and what investors should look for when it comes to the OTC Markets.
HOW TO TRADE PENNY STOCKS
First up, it’s important to understand that trading penny stocks are not the same as trading blue chips. As we have stressed repeatedly to our subscribers, the key to trading penny stocks is finding momentum BEFORE it happens and then be patient.
We got our subscribers in early on TSNP, which you can read our latest here, and ENZC, which you can read about here.
Now, when we say that we find momentum BEFORE it happens, we are swing traders looking to position our subscribers BEFORE the move happens. This is where the big money is made and why so many of our subscribers are sitting on gains of over 7750% in ENZC and over 18,650% in TSNP.
If you want to day trade, this is not the place for you. If you want to make a few hundred bucks and then lose a thousand dollars the next day, we hear Tim Sykes has plenty of openings.
We always alert our subscribers first before we publish for our regular readers. This is the value of having a subscription to Insider Financial, which you can sign up for here. We alert our subscribers with our best ideas before our regular readers.
OTC Penny Stock #1: GAXY
GAXY was a huge penny stock winner back in August. Shares spiked from $.005 to $.06 in less than a month. The rally came after we at Insider Financial profiled the stock as one of the best back-to-school plays for our more than 100,000 subscribers.
GAXY has been delivering big new orders and now has a backlog well over $2 million. In November GAXY reported a record Q1 2020 with $1.2 million in sales. GAXY just released its Visual Alerts on January 1st. Visual alerts allow for a message (both text and image) to be sent to any device in a school district’s ecosystem.
To kick off 2021, GAXY eliminated all variable convertible debt. As of January 1, 2021, the Company has no convertible toxic debt. The most recent convertible debt financing has been completely eliminated as the Company previously agreed to accelerate their ability to convert to equity ahead of schedule.
Gary LeCroy, Galaxy’s Chief Executive Officer, commented, “While we had to do what we could to access capital over these past two years in order to grow our business, we recognize the negative effect certain structures and terms had on our stock price. We are extremely pleased to report that we are now debt free. With our sales ramping and our operations approaching positive cash flow generation, we expect to attract much more advantageous capital to assist our growth to the next level. Our team, partners and customers are very excited for what is ahead for 2021.”
GAXY has a current market cap of $86 million.
OTC Penny Stock #2: ISWH
ISWH is a cryptocurrency mining play running on the back of the strength of Bitcoin. These are always some of the best plays. When you have an asset like Bitcoin running, just go looking for penny stocks in the sector and they will follow Bitcoin higher. ISWH made the pivot at exactly the right time and the steady stream of press releases have kept a bid in the ISWH share price.
ISWH has completed testing of its state-of-the-art datacenter pod (the Proceso Pod5ive datacenter), designed in partnership with Bit5ive. Each pod has the capacity to generate $900,000 per year (at current cryptocurrency prices), with a goal of 10 pods, which, at today’s cost, can generate almost $10 million in revenues annually, with a 3-year goal of 50 pods generating $45 million per year.
ISWH has eliminated $702,000 in convertible debt, reduced outstanding shares by nearly 15%, and a total reduction in authorized shares to just 60 million.
ISWH is closing in on key developments and announcements for its Telehealth and Home Healthcare division, including one or more key acquisitions related to providing healthcare and telehealth services. Management believes these strategic moves carry the potential to drive revenues as much as 500% higher on a year-over-year basis in 2021 (from a base exceeding $1 million in 2020).
“We are closing in on key acquisitions that we believe could significantly increase the scale of our telehealth operations and materially ramp the Company’s topline performance in 2021,” commented Alonzo Pierce, President and Chairman of ISW Holdings. “Our focus is on acquiring consumer brands that will provide access to healthcare advice and the ability to resolve a range of healthcare needs in the safest, most affordable, and most convenient manner. Our primary target could drive our revenues above $5 million next year and features technology that allows customers to manage their own medical records, access healthcare provider messaging, find new providers, manage appointments, and share documents and data related to care.”
ISWH has a current market cap of $18 million.
OTC Penny Stock #3: TAUG
TAUG is up almost 800% in less than a month. This is one we are familiar with and has had a history of price spikes in the past.
TAUG has a proprietary line of functional “supplement” chewing gums (Flavors: Pomegranate, Blood Orange, Peach-Lemon, Pear Bellini, Mint, Black Currant) as well as two ongoing Biotechnologies initiatives. Just before Christmas, TAUG completed the funding of its financial obligations, pursuant to its recently executed Master Services Agreement with North Carolina based Clinical Strategies & Tactics, Inc. (“CSTI”).
In a recent public statement, the Company had confirmed its intent to fund the entirety of this Agreement, before the end of Calendar Year 2020. With this funding now complete, the Company said that it is excited about its prospects for 2021 – as it pertains to its pharmaceutical development efforts.
TAUG has also made the payment on the 3rd Production Run of its gelatin free, CBD Infused gum drop product, branded as Tauri-Gummies™. This 3rd Production Run, which is expected to be completed within the next 1-2 weeks, will yield a total of 3,000 Jars.
This product contains 25mg of CBD Isolate in each gumdrop (600mg per Jar), is manufactured in 4 flavors (cherry, orange, lemon, lime), and production in the following style: 1950s Nostalgic Style. Tauri-Gummies™ sales have been consistently strong on the Company’s E-Commerce platform – Each Jar of Tauri-Gummies™ has an established MSRP of $26.99.
TAUG has a current market cap of $34 million.
These 3 OTC penny stocks are hot right now. There are always opportunities on the OTC and it’s our job to find the bull markets. Huge gains can be made in such a short amount of time.
For those that missed out on the recent run in these three OTC penny stocks, our best advice is to be patient and throw bids in below the market. Buying dips and selling rips as swing trades remains the best strategy in these markets.
Remember, all it takes is one or two to become a TSNP or an ENZC and you’re set to buy a new house and not just make a rent or mortgage payment.
As always, good luck to all (except the shorts)!
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Disclosure: We have no position in any of the securities mentioned. We wrote this article ourselves and it expresses our own opinions. We are not receiving compensation for it. We have no business relationship with any company whose stock is mentioned in this article. Insider Financial is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This article is not a solicitation or recommendation to buy, sell, or hold securities. This article is meant for informational and educational purposes only and does not provide investment advice.
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