If January is a sign of things to come for 2021, traders and investors are going to make a lot of money this year. 4 penny stocks on the move to start 2021 are Bantec Inc (OTCMKTS: BANT), Tesoro Enterprises (OTCMKTS: TSNP), TransEnterix (NYSEMKT: TRXC), and Westwater Resources (NASDAQ: WWR).
HOW TO TRADE PENNY STOCKS
First up, it’s important to understand that trading penny stocks is 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. It’s also best to own a portfolio of quality penny stocks. For some that can be as many as 10 to 20 or more penny stocks.
Now, when we say that we find momentum BEFORE it happens, we are investors 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 36,150% in TSNP.
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.
Now we know many prefer to day trade, but we are not day traders here at Insider Financial. It doesn’t suit our personality and we don’t like the intraday moves markets make. We have found we made more money being patient and ignoring the day to day noise of the markets.
If you want to day trade, Insider Financial is not the place for you. When it comes to day trading, and if that’s what you are after, we recommend the folks at True Trading Group, which you can check out their live streams here.
OTC PENNY STOCKS VS NASDAQ/NYSE PENNY STOCKS
The fact is that there is always a bull market somewhere. That’s why it’s important for penny stock investors to trade both OTC and NASDAQ/NYSE penny stocks. There are always opportunities if you give yourself the flexibility to trade all markets.
Last year, for the first half of 2020, it was much more profitable to trade NASDAQ penny stocks than OTC. That is where we and our subscribers were positioned. We captured the runs in SRNE, NIO, INO, IBIO, WKHS, and many others. Then once the summer came, many of the COVID runners had failed to find momentum. We then pivoted to OTC and caught the runs in TSNP, ENZC, MMEDF, and many others.
So far this year, it’s best to play both OTC and NASDAQ/NYSE. With Bitcoin running, we are seeing crypto plays making huge moves. With Joe Biden coming into the White House and Democrats taking control of the Senate, we are seeing cannabis and green energy plays catching bids.
In this article, we take a look at 4 penny stock on the move BANT, TSNP, TRXC, and WWR to find out what’s behind the move and our outlook for each.
Penny Stock #1 BANT
We recommended BANT to our readers and subscribers back in October as a play on the COVID-19 pandemic with its Bantec Sanitizing Division, which you can read here. However, this isn’t why BANT is running. BANT is running because of its Drone USA division. BANT is being billed as the next ALPP or UAVS, which we have covered and you can read here and here.
Drone USA just received purchase orders to supply Atlantic City’s Fire and Emergency Management Departments with drones.
Michael Bannon, Bantec’s Chairman, and CEO stated: “We are excited to supply Atlantic City’s Fire and Emergency Management Departments with the right drone equipment. Drones provide a great and effective tool that ultimately help first responders perform their jobs more efficiently. One drone, equipped with payload and night vision capabilities, will be used to drop automatic flotation devices to swimmers in distress.”
Domestic drone plays like UAVS, ALPP, and now BANT are running as the federal government has cracked down on Chinese drone companies. The US government has deemed many Chinese companies to be security threats and encourages US companies to buy drones from domestic companies.
BANT has a lot of room to run as its current market cap is just $6.9 million.
Penny Stock #2 TSNP
TSNP was the biggest runner we have ever found for our subscribers. You can read our original coverage for our regular readers on November 13th at $.0088 a share here. Subscribers always get first look before our regular readers and that’s the advantage of having a subscription to Insider Financial.
TSNP is running as investors gear up for the Q1 Shareholder Call on January 22nd at 2 PST. The last investor call was on December 9th and it was a good one. You can watch our recap in this video.
We are expecting updates on the symbol change to HMBL, new product announcements, the number of merchants on HUMBL Studios, HUMBL Hubs updates, marketing plans, Apple and Google app updates, financials, and an update on CEO Brian Foote’s prior company Block30 Labs.
BLOCK 30 Labs is officially closing for business. Thank you to the people around world that welcomed us on the journey so far.🙏
— BLOCK 30 (@Block30Labs) January 13, 2021
We remain bullish on TSNP, but we have told some to not be afraid to take some money off the table and book profits. TSNP has a current market cap of $1.1 billion and the company needs to execute and deliver to keep the momentum going. Remember, no one ever goes broke taking a profit. For those new to TSNP, we recommend not chasing and to buy on red/dip days.
Penny Stock #3 TRXC
TRXC is a tough call. We last covered the stock in 2017. We have seen this story before and it hasn’t ended well for TRXC shareholders. TRXC is a story of a penny stock with enormous potential but plagued by bad management and endless dilution. Just look at the 3-year chart for TRXC.
Some investors are saying this time is different with new management and a runway of sales in Europe. There are also endless comparisons to Intuitive Surgical (NASDAQ: ISRG) and its $100 billion market cap to keep fueling the bullish enthusiasm. However, there are also endless comparisons to another dog with fleas Titan Medical (NASDAQ: TMDI), another robotic surgical penny stock.
Will this time be different?
It will all come down to sales. In November, TRXC reported just $810,000 in sales for Q3.
TRXC has a current market cap of $335 million.
Penny Stock #4 WWR
We told our readers back on October 27th to buy the dip in WWR, which you can read here. As you can see from the chart below, it has worked out nicely.
Our subscribers caught the move in early October before the stock took a dump, which you can read here. We even told our subscribers to expect the selloff. We said:
While there might be some short-term profit-taking after last week’s move, dips are a discount entry opportunity.Now, with shares just above $4, it’s time to get back in and buy the dip.
WWR is running as China looks to limit rare earth exports. This benefits WWR as this junior miner has the ONLY battery-grade graphite mining project in the continental United States. The U.S. has NO current production of natural graphite.
The Company’s battery-materials projects include the Coosa Graphite Project — the most advanced natural flake graphite project in the contiguous United States — and the associated Coosa Graphite Mine located across 41,900 acres (~17,000 hectares) in east-central Alabama. Operation of the pilot plant is underway and is scheduled to produce ULTRA-PMG™, ULTRA-DEXDG™, and ULTRA-CSPG™ in quantities that facilitate qualification testing at potential customers.
We think WWR has more room to run. Its current market cap is just $132 million, the company has $50 million in cash, a float of just 15 million, and 20% of the float is short.
These 4 penny stocks are hot right now. There are always opportunities in penny stocks 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 4 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 BANT, TSNP, TRXC, or WWR and you’ve crushed the market indices for the year. Whoever said to avoid penny stocks has no clue what they’re doing.
As always, good luck to all (except the shorts)!
WHEN INSIDER FINANCIAL HAS A STOCK ALERT, IT CAN PAY TO LISTEN. AFTER ALL, OUR FREE NEWSLETTER HAS FOUND MANY TRIPLE-DIGIT WINNERS FOR OUR SUBSCRIBERS. WE SPECIALIZE IN FINDING MOMENTUM BEFORE IT HAPPENS!
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.