Most of the times when we find stocks like this we see a run up and then they’re toast, this time LBAS is trying to make a statement. It lost a few dollars per share in only 2 days before gaining them all back the following day and an additional $2 per share the following week… that’s what you call a short trap.

Sure this could go the other way and disprove any thoughts I may have, but the focus here is whether it can hold/consolidate around the $8.00 per share level. Shorts may have jumped on board thinking we were falling straight towards 0 on the washout to the mid $4s and to their surprise found themselves with a double within four days and has yet to give back its gains. It appears as though its a pretty thin float it upticks are nearly nothing 500-1000 share lots before rising by nickel or dime increments. I’m interested only if it holds $8.00 and only if more volume flows in (even though it trades nearly $500k/day anyhow) but keep it on radar as it may be a $2-4 dollar spike as soon as a squeeze starts especially if the rumored forward split on the message boards is true. The main reason I bring it up is the last one I saw hold its gains like this was,… remember MXFD? Yup, still just a few dollars off its highs. The only difference between the two is I actually know what LBAS does, its a pretty neat product I’m still scratching my head on what on earth MXFD is, … if anything.

LBAS.OB

MXFD.OB

PENC lots of volume right out of the gate, watch for a slight dip to scare out any buyers Friday. This is quite a bit of volume, might be a promotion starting trying to sneak their strong buyers in while no one is watching the market before the long labor day weekend. Regardless, a lot of shares traded hands and worth a watch

GCHK.OB still interesting, watch for the $.82 break, doesn’t appear they are rushed to bring it up anywhere fast they may still have more funds to get in

NAEN constant trading it very well may just be cross trades trying to create a market or crosses to get in other funds. This is a similar staircase pattern we’ve been used to on this scan.

More to come this week!