Top 8 Penny Stocks to Watch Out for in 2018

Penny stocks are not as popular as those at the top of the vast stock market, but they can still provide you with extra income. You should also take note of various trading strategies you can use when dealing with penny stocks.

Penny rolling on top of a printed graph

Here, you'll learn the top 8 penny stocks that you should watch out for this 2018.

5 Penny Stocks to Watch Out for in 2018

HTG Molecular Diagnostics, Inc.
Back in June 2015, HTG Molecular Diagnostics, Inc. was able to post an all-time high at $19.75 before plummeting to an all-time low of $1.20 in February last year. It then briefly rode a momentum wave, gaining more than 13 points in one month, before reversing to decline for the rest of the year. It once again gained momentum in January 2018 and hit and 11-month high in March during which the pullback into April found support at the 200-day EMA.

Luna Innovations, Inc.
Within the past decade’s economic collapse, Luna Innovations, Inc. went from being sold at $8.68 to 26 cents. It was able to regain footing in January 2010 when it bounced back to $5.00. Ever since then, there were no successful rally attempts to approach the barrier and it instead stalled between $3.00 and $4.00. In August 2017, the stock rose to more than three times in price only to reverse on April 5, 2018. Since then, the stock has been consolidating in a symmetrical triangle for the past three weeks.

Legacy Reserves LP
Legacy Reserves LP has broken off of a 3-year topping pattern when 2014 came around, falling to an all-time low at 61 cents in March 2016. A month after the record was set, the stock rose to stall at $3.89 yielding a continuous decline that resulted to an even higher low in December 2017. The stock once again took off in a new uptrend in January 2018, moving past the 2016 high recorded in March.

Arotech Corporation
Arotech Corporation went through several quarters of flat performance before revenue finally ticked up in the quarter ending September 2017, during which the company’s operating income turned positive. The company belongs in the technology sector and offers two of the hottest trends existing today, which are drones and virtual reality. The stock could offer room for additional growth based on the potential for the company and the sector.

Valeant Pharmaceuticals Intl Inc.
In the past 12 months, Valeant Pharmaceuticals Intl Inc. experienced problems that led to an 82 percent decline and has become of the cheapest penny stock in the market. The stock was able to rebound recently and rose by 35 percent in just three trading days.

Learn more about the possible risks that accompanies investing in penny stocks.

3 Penny Stocks to Watch Out for in May 2018

Neptune Technologies and Bioressources, Inc.
Magnifying glass directed towards a miniature man lifting a pennyNeptune Technologies and Bioressources, Inc. underwent multiple years of uptrend before stopping 26 cents short of 2008 high at $5.40 in 2012. It broke down in 2014 and paved way to a drop that ended at 70 cents in August of 2017. The following three months saw to it that the stock was able to regain some stability, wherein it rose to a 4-year high at $3.59 in January 2018 and settled into a narrow range pattern.

Stein Mart, Inc.
Stein Mart, Inc. was at its peak in 2007 before experiencing resistance in 2013 and then finally breaking down in 2015. This resulted to an all-time low at 48 cents in February 2018. At the end of this year’s first quarter, the stock was able to drift higher in March after a one-day momentum spike that reversed at $2.45. During the last 6-weeks, price action has remained within the boundaries of the breakout bar.

Bellerophon Therapeutics, Inc.
Bellerophon Therapeutics, Inc. first became public in February 2015 was priced at $9.25. In the following session, it already posted an all-time high at $12.92. It then reversed into a downtrend which grew worse throughout the fourth quarter of 2016, recording an all-time low at 43 cents. The stock recovered and remained stagnant at $1.98 in March 2017 before a December rally helped it reach $2.74. During the first quarter of 2018, the stock has gradually grown and can quite possibly reach 2016 resistance at $4.58.

Final Thoughts

There are plenty of penny stocks out there in the vast market. You just have to know through careful assessments which ones are worth observing and guarding.

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