Top Penny Stocks List and Weekly Update: Key Takeaways
- OTCs are still hurting because of the recent promoter arrest.
- Crypto and blockchain are the most fashionable words in penny stock land. See WDLF.
- Sometimes sitting on the sideline is the best strategy. See “This Week’s Top Tested Trading Tip” after the watchlist…
- Social Life Network, Inc. (OTCPK: WDLF … read my analysis here)
- Ilustrato Pictures International Inc. (OTCPK: ILUS … read my analysis here)
- Cyberlux Corp. (OTCPK: CYBL … read my analysis here)
Top Penny Stocks List: November 8, 2021
Even with a slower OTC market last week, there was still plenty of higher-priced action. I’m not great at higher-priced plays — and glad to admit it. My main watches this week are still OTCs. I’ll sit on the sidelines if necessary rather than trade risky setups or choppy stocks.
These are the OTCs I’m watching this week…
And here are the listed stocks I’m watching…
3 Stocks to Watch This Week
Top Penny Stocks List #1: Social Life Network, Inc. (OTCPK: WDLF)
Social Life Network is a tech business incubator. It officially entered the blockchain/crypto space in August.
Key points about WDLF…
- Social Life Network was an earnings winner on Friday. It announced its strongest quarter since going public in 2016.
- The company launched its WDLF Token on the Ethereum blockchain in August.
- WDLF spiked 63% on Friday. It largely held gains, closing up 44% for a classic OTC first green day setup.
WDLF has a recent history of first green days that gap up and fail on day two. I’ll watch for more spiking, ideally with news and big volume. I’ll also watch for potential dip buys into any big morning panic.
Top Penny Stocks List #2: Ilustrato Pictures International Inc. (OTCPK: ILUS)
Ilustrato International is a merger and acquisition company focused on public safety tech acquisitions.
- The company issued a shareholder update teasing a Nasdaq uplisting on November 2.
- It also said it had closed on three acquisitions and had pre-contract agreements for three more in 2021.
- ILUS had a multi-week breakout over 48 cents on Thursday. It hit a 52-week high of 49.4 cents on Friday.
ILUS is a potential buy on any big morning panic or, ideally, a stronger breakout with news and big volume. I won’t be aggressive given its failure to break out convincingly on Friday.
Top Penny Stocks List #3: Cyberlux Corp. (OTCPK: CYBL)
Cyberlux Corporation designs and sells LED lighting systems and drones.
Key points about CYBL…
- Cyberlux issued a monthly shareholder update on Thursday.
- In late October, it announced a consulting partnership with a former government official.
- After a strong run the second half of September, CYBL coiled throughout October.
Like ILUS, CYBL is a potential buy on any big morning panic or more spiking with news and volume. Again, I won’t be aggressive given its failure to break out convincingly.
With the slowdown in OTCs last week, several students asked why I don’t trade higher-priced plays. It brings up a very good point…
This Week’s Top Tested Trading Tip
In 20+ years of trading, I’ve only made $7.2 million. That might seem like a lot if you’re new. But to top veteran traders, it’s small. For example, Jack Kellogg has made $7.7 million in the past year.
The thing is, I don’t partake in scalable strategies. I’ve fine-tuned my OTC trading. There are a couple of reasons…
First, I trade to teach. Since most of my students trade with small accounts, I trade with a small account. I also trade mostly OTCs because they’re good for learning. They’re less choppy.
The other reason is because I know and accept my faults. I couldn’t trade the crazy volatility halts like we saw on Avis Budget Group Inc. (NASDAQ: CAR) last Tuesday. And I know some traders got hurt. Jack took a big loss going short and then trying to buy the dip that didn’t bounce.
When I was a short seller, short squeezes weren’t that crazy. Today there are more shares to short, more short sellers, and more liquidity. But it’s also brought crazier short squeezes. I’m ill-equipped to deal with that.
So … I’ve taken the risk of blowing up out of my trading. And I focus on what’s useful for new students to be able to grow their accounts over time.
The point of this is … know what you’re good at. If you don’t know, test with small positions.
For me, I know OTCs will be back. The promoters think of themselves as the next Jordan Belfort. That lifestyle requires money. So they can only stay on the sidelines and passive for so long before they return to their scummy pumping. It’s just a waiting game.
This is where your journey begins. If you can change your mindset from making money to learning, there’s hope.
New to penny stocks? Start with my FREE penny stock guide.
Also, get my best-selling book “An American Hedge Fund” here at no cost.
For the basics of my strategies, read “The Complete Penny Stock Course.”
And if you think you have what it takes, maybe the Trading Challenge is for you. Only apply if you’re willing to study hard. It’s not easy, but it’s where all my top students refined their skills.
Trading Challenge students also get access to my daily watchlists. All successful traders make their own watchlists. Studying mine (and those of other successful traders) is a good start, but you need to learn…
How to Create Your Own Penny Stocks List
Answers to watchlist FAQs…
How Can You Create Your Own Watchlist?
To start, look for big percent gainers. For two decades, big percent gains have been my #1 criteria. After that, I look at trading volume and a catalyst or reason behind the price action. Read “Stock Watchlist Guide: Tips & Examples to Develop Your Own” for details about the entire process.
Should I Create a Watchlist Every Day?
All serious traders create a daily watchlist. If you’re serious about trading penny stocks, making a daily watchlist is essential.
Does Tim Sykes Provide a NO-COST Watchlist?
Yes. Subscribe to my weekly penny stock watchlists below.
How to Use the Top Penny Stocks List Weekly Update
When you read the weekly penny stock list (and the monthly watchlist), don’t think of them as hot picks. Frankly, sometimes they’ll be duds. That’s why it’s called a watchlist. Welcome to penny stocks.
It all starts with looking for big percent gainers. Try to figure out why I’ve put the stocks on my list. Study so you can help yourself become a self-sufficient trader. Only fools chase hot picks.
What do you think about this penny stocks list and weekly update? Comment below, I love to hear from all my readers!