Wednesday Stocks To Watch - UWRL, HTLJ, OPSY , DYAP

UWRL the chart speaks for itself, of course today's press release only helped to embolden the bulls. As I said late last week, URWL will be a stock to watch for quite some time. I think $.006 could come in the short term. A break of the 50 DMA on the chart ($.00187) will be a very bullish sign.
HTLJ my latest buy and hold continues to maintain a strong bid and I think, at some point this year, will post a 400% gain from today's close. It is just going to take some time.

OPSY is a stock that continues to fly under the radar. I expect that to change at some point in the near future.

DYAP is consolidating at $.005 and should be able to work its way back over a penny. The company is focusing on the multi-billion dollar carbon credit market per their latest press release. This should bring immediate value to shareholders.

Time to Issue Rules Regarding Corporate Authorized Share Structure Changes

This is a great article, thank you fun1 for pointing this out.


Time to Issue Rules Regarding Corporate Authorized Share Structure Changes
Staff Reporter
Last Updated: July 01, 2010 - 4:35pm EST NEW YORK--Over the past several years liquidity in Pink Sheet stocks have increased dramatically, but so has the issue of investors being caught flat-footed from secret share structure changes in the dark of night.

Pink Sheet stocks, once the realm of illiquid non-trading securities, have grown over the past several years, and now trade millions of dollars in trading each day. But, as many investors who may have invested in such securities know, the ability for companies to raise corporate structures without any due notice to the market has left many investors out in the dark when it comes to these events.

To be fair from the start, we are not discussing the event of companies issuing shares by increasing their shares outstanding, but rather the more devastating move of the increase of ones corporate shares authorized. Many companies from the NYSE down to the pink sheets issue shares for many different reason, such as to investors to raise capital, or to new companies for acquisitions, or for services such as legal, promotion, or such things as website development or employees.

These events are very understandable as this feature is in a sense the heart of our capitalist system, and many investors understand shares are issued from day-to-day for many different reasons. What is more disturbing, and has been more of a dramatic effect on investors who invest in these securities, is the flagrant change in companies corporate shares authorized.

It seems to be all too easy for companies to raise their authorized shares under the cover of darkness, leaving many small investors on the stake when these moves develop into sudden and dramatic share increases in the open market.

Not that corporate authorized share increases should be banned, but their should be new rules regarding companies ability to raise shares authorized, and how the general market must be informed when these events happen. Given these are pink sheet securities, and have very little overview from regulators such as FINRA or the SEC, there could still be rules on the state levels that limit these companies on their surprise issuance of shares on the average small investors.

Maybe such rules as all companies must publicly disclose any increase in shares authorized on Pink Sheets, LCC website, local newspapers in the states they are incorporated, or public press releases say 72 hours before becoming effective.

Another wise rule would be to limit corporations ability to raise their authorized shares to say no more then 200% annually. If a company has say 1 billion authorized, there really should be no reason for them to increase their shares to more then 3 billion, unless without a public shareholder vote and approval.

If say from acquisition, or financing reasons, companies still find themselves in need for increased shares to finalize projects, then if under that 12 month period they reach that limit they would be forced to do a reverse split to facilitate their corporate needs.

Years ago the fear many small investors had was the idea of waking one morning to find their investment had done a reverse split of their common stock. But, in a reverse split, the value of the company and money invested doesn't change, its just the structure that changes. But, with endless increases in uninformed authorized share increases, this does effect investor value, and makes investing in such securities a very difficult and expensive prospect.

Recent examples of dramatic authorized share increases, and we're sure we are overlooking many more, are American Securities Resources (ARSC), or Relm Holdings (RELM), or Hall of Fame Beverages (HFBG) just to name a few.

These new rules would in no way resolve issues regarding corporate dilution, but at least it would give small investors in these securities a standing chance to invest in these securities without the issues of being left holding the bag in surprise dramatic shares increases. Some sort of rules regarding this wild-west shares authorized increases should be imposed.


http://www.wallstreetnewscast.com/news/pennystock_dilution.html

UWRL - Ready To Follow In The Footsteps of GOIG

Since I started my subscription service last fall I've made two picks that returned 3,333% and 3,400%, and called a bottom of one stock that went on to post a 15,000% gain from that point. What do these 3,000%+ picks/bottom calls have in common? They all have Mina Mar http://www.minamargroup.com/ as their investor relations firm.

What does this mean? UWRL also has Mina Mar group, and I believe now it is this stocks turn to post its big run over the next coming weeks and months. A quick glance at the chart will show that this run is about to get going.




Let's get to the juicy details of UWRL. For one the company is not doing a reverse split. They also are not doing any toxic financing. The stock already has 90% of all other Pink Sheet stocks beat. They have already brought two companies into the shell and anticipate bringing another one in shortly. This is value added to the stock. They are looking for the final merger candidate:

The company reminds its shareholders and followers that UWRL was a company in duress obtained through a Nevada court custodianship. UWRL' "in peril" days are long gone and well behind it. UWRL is a great robust and up and coming company. We remind our followers that Go Green Electronic Recycling; USA based company (current subsidiary) and the Canada based Welcome Place (targeted merger candidate) will be the two secondary operating subsidiaries. They show great future appreciation and potential. The "Main" China based subsidiary remains still to be announced. The mandate for our M&A consultants are to locate an operating company with revenues in the 5 to 10 million dollar range with assets of the same. Several such candidates have been identified with UWRL agent still in China reviewing and conducting due diligence on the targeted merger companies.

I think once the company and its subsidiaries are established the headwinds will abate and this stock will trade to $.006 and better. Considering UWRL was at $.008 only a few months back, I think the $.006 is rather conservative.

UWRL is a stock to add to your watch list, if you haven't already. I think a $.0026-$.003 price is almost a given short term from today's close and $.006 and better will come a little longer down the road. These Mina Mar stocks have a way of becoming crowd pleasers. I don't think UWRL will disappoint.

Stocks To Research This Weekend - SDGL, UWRL, HTLJ, ARSC, BTDG

SDGL the company's earning for last year are $.02 per sec filings. Due a 10x multiple and you get a $.20 stock. Where did it close today? $.013. You are looking at a severely undervalued stock and one that, one the market recognizes its value, sees a substantial run from current levels.
UWRL I have this stock on watch for a major breakout over the coming weeks and months. At $.0013 this stock could return 500-700% short term and possibly more longer term.
HTLJ my brand new buy and hold saw light volume today, mostly on the sell side. As I said last night, patience will be key and I see this stock trading 400%+ higher from today's close down the road.
ARSC impressive news today helped continue the accumulation trend with the stock. With each session of buying volume the stock creeps ever closer to a breakout. I would not be surprised to see this stock push through new recent highs next week of $.0006/.0007.
BTDG still is holding the .017-.022 range. I still like this stock for $.10 and I think current prices are being offered at a discount to its fair value.

ARSC - The Accumulation Continues as Does The Positive News Flow

Faithful ARSC investors were rewarded late today with some impressive and significant news. The company received its first tranche of funding and will begin their initial production run. This will give them the opportunity to start delivering on their existing $21 million purchase order backlog. How many sub $.001 stocks do you know of with a $21 million purchase order backlog?

Investors have obviously started to figure out the value of ARSC shares because the accumulation continues in earnest. The chart above does not lie. As I said in a prior post: When a divergence in the market occurs,e.g. the Oscillator is rising but the market isn't, then this is an indicator that a change in trend is imminent. That trend change for ARSC is just getting under way.

People can say what they want about ARSC and its past, but what matters is what is happening right now. The company is turning the corner and the stock is starting to reflect that. The time for selling ARSC was over the last few years. I think the time to be buying ARSC is now and according to the chart I'm not the only one that shares that sentiment.





ARSC Receives First Production Funding from St. George
HOUSTON, Jul 02, 2010 (BUSINESS WIRE) -- American Security Resources Corporation (Pinksheets: ARSC) announced today that St. George Fund has sent the first tranche of funding to begin production at its Hydra Fuel Cell Corporation subsidiary.

Bob Farr, President and COO of ARSC, stated, "With this funding from St. George we will begin our initial production run to start delivering to our existing $21 million purchase order backlog."

"After we see how production is progressing we will open up our sales channels again," Farr concluded.

St. George Investments LLC

The St. George Investments LLC is a Chicago based investment company managed by John M. Fife, specializing in buyouts, late stage growth equity investments and PIPES. They strive to find and create circumstances that combine three factors that are critical to investment success. These are: great business opportunities, uncommon managerial talent, and financial capital.

American Security Resources Corporation

ARSC is a holding company developing technologies that will advance the development of alternative energies. ARSC, through its Hydra Fuel Cell subsidiary, has developed high volume, mass producible hydrogen fuel cells. Its American Hydrogen Corp. subsidiary is developing methods to inexpensively formulate hydrogen. For more information, please see: www.americansecurityresources.com

Safe Harbor Statement

This news release contains certain "forward-looking statements" within the meaning of Section 27a of the Securities Act of 1933 and Section 21e of the Securities Exchange Act of 1934. Although the Company believes the expectations reflected in such forward looking statements are reasonable, it can provide no assurance that actual results will meet or exceed such expectations.

SOURCE: American Security Resources Corporation

Microcap Stock: A Guide for Investors

Introduction

Information is the investor's best tool when it comes to investing wisely. But accurate information about "microcap stocks" — low-priced stocks issued by the smallest of companies — may be difficult to find. Many microcap companies do not file financial reports with the SEC, so it's hard for investors to get the facts about the company's management, products, services, and finances. When reliable information is scarce, fraudsters can easily spread false information about microcap companies, making profits while creating losses for unsuspecting investors.

In the battle against microcap fraud, the SEC has toughened its rules and taken actions against wrongdoers, but we can't stop every microcap fraud. We need your help in winning the battle. Before you consider investing in a microcap company, arm yourself first with information. This alert tells you about microcap stocks, how to find information, what "red flags" to consider, and where to turn if you run into trouble.

What Is a Microcap Stock?

The term "microcap stock" applies to companies with low or "micro" capitalizations, meaning the total value of the company's stock. Microcap companies typically have limited assets. For example, in cases where the SEC suspended trading in microcap stocks, the average company had only $6 million in net tangible assets — and nearly half had less than $1.25 million. Microcap stocks tend to be low priced and trade in low volumes.

Where Do Microcap Stocks Trade?

Many microcap stocks trade in the "over-the-counter" (OTC) market and are quoted on OTC systems, such as the OTC Bulletin Board (OTCBB) or the "Pink Sheets."

• OTC Bulletin Board The OTCBB is an electronic quotation system that displays real-time quotes, last-sale prices, and volume information for many OTC securities that are not listed on the Nasdaq Stock Market or a national securities exchange. Brokers who subscribe to the system can use the OTCBB to look up prices or enter quotes for OTC securities. Although the FINRA oversees the OTCBB, the OTCBB is not part of the Nasdaq Stock Market. Fraudsters often claim that an OTCBB company is a Nasdaq company to mislead investors into thinking that the company is bigger than it is.
  
• The "Pink Sheets" The Pink Sheets — named for the color of paper on which they've historically been printed — are listings of price quotes for companies that trade in the over-the-counter market (OTC market). "Market makers" — the brokers who commit to buying and selling the securities of OTC issuers-can use the pink sheets to publish bid and ask prices. A company named Pink Sheets LLC, formerly known as the National Quotation Bureau, publishes the pink sheets in both hard copy and electronic format. Pink Sheets LLC is not registered with the SEC as a stock exchange, nor does the SEC regulate its activities.

• How Are Microcap Stocks Different From Other Stocks?

  Lack of Public Information The biggest difference between a microcap stock and other stocks is the amount of reliable, publicly available information about the company. Larger public companies file reports with the SEC that any investor can get for free from the SEC's website. Professional stock analysts regularly research and write about larger public companies, and it's easy to find their stock prices in the newspaper. In contrast, information about microcap companies can be extremely difficult to find, making them more vulnerable to investment fraud schemes.

  No Minimum Listing Standards Companies that trade their stocks on major exchanges and in the Nasdaq Stock Market must meet minimum listing standards. For example, they must have minimum amounts of net assets and minimum numbers of shareholders. In contrast, companies on the OTCBB or the Pink Sheets do not have to meet any minimum standards.

  Risk While all investments involve risk, microcap stocks are among the most risky. Many microcap companies tend to be new and have no proven track record. Some of these companies have no assets or operations. Others have products and services that are still in development or have yet to be tested in the market. Another risk that pertains to microcap stocks involves the low volumes of trades. Because microcap stocks trade in low volumes, any size of trade can have a large percentage impact on the price of the stock.

  Which Companies File Reports With the SEC?

  In general, the federal securities laws require all but the smallest of public companies to file reports with the SEC. A company can become "public" in one of two ways — by issuing securities in an offering or transaction that's registered with the SEC or by registering the company and its outstanding securities with the SEC. Both types of registration trigger ongoing reporting obligations, meaning the company must file periodic reports that disclose important information to investors about its business, financial condition, and management.

  This information is a treasure trove for investors: it tells you whether a company is making money or losing money and why. You'll find this information in the company's quarterly reports on Form 10-Q, annual reports (with audited financial statements) on Form 10-K, and periodic reports of significant events on Form 8-K.

  A company must file reports with the SEC if:

  If you'd like to learn more about the SEC's registration and reporting requirements, read Q&A: Small Business and the SEC.

  All OTCBB companies must file updated financial reports with the SEC or with their banking or insurance regulators. Any company that does not file timely reports with the SEC or their banking or insurance regulators is removed from the OTCBB.

  Tip: When an OTCBB company fails to file its reports on time, the FINRA will add a fifth letter "E" to its four-letter stock symbol. The company then has 30 days to file with the SEC or 60 days to file with its banking or insurance regulator. If it's still delinquent after the grace period, the company will be removed from the OTCBB. You'll find a list of securities that have been removed from the OTCBB at www.otcbb.com.

  With few exceptions, companies that file reports with the SEC must do so electronically using the SEC's EDGAR system. EDGAR stands for electronic data gathering and retrieval. The EDGAR database is available on the SEC's website at www.sec.gov. You'll find many corporate filings in the EDGAR database, including annual and quarterly reports and registration statements. Any investor can access and download this information for free from the SEC's website. Click here if you want to view detailed instructions on how to use EDGAR.

  Caution: By law, the reports that companies file with the SEC must be truthful and complete, presenting the facts investors find important in making decisions to buy, hold, or sell a security. But the SEC cannot guarantee the accuracy of the reports companies file. Some dishonest companies break the law and file false reports. Every year, the SEC brings enforcement actions against companies who've "cooked their books" or failed to provide important information to investors. Read SEC filings — and all other information — with a questioning and critical mind.

  Which Companies Don't Have to File Reports With the SEC?

  Smaller companies — those with less than $10 million in assets — generally do not have to file reports with the SEC. But some smaller companies, including microcap companies, may choose voluntarily to register their securities with the SEC. As described above, companies that register with the SEC must also file quarterly, annual, and other reports.

  A Word About Offering Requirements

  Any company that wants to offer or sell securities to the public must either register with the SEC or meet an exemption. Here are two of the most common exemptions that many microcap companies use:

  Unless they otherwise file reports with the SEC, companies that are exempt from registration under Reg A, Reg D, or another offering exemption do not have to file reports with the SEC. For more information about the registration requirements and offering exemptions, read Q&A: Small Business and the SEC.

  What's So Important About Public Information?

  Many of the microcap companies that don't file reports with the SEC are legitimate businesses with real products or services. But the lack of reliable, readily available information about some microcap companies can open the door to fraud. It's easier for fraudsters to manipulate a stock when there's little or no information available about the company.

  Microcap fraud depends on spreading false information. Here's how some fraudsters carry out their scams:

  Microcap fraud schemes can take a variety of forms. Here's a description of the most common schemes:

  The Classic "Pump and Dump" Scheme It's common to see messages posted on the Internet that urge readers to buy a stock quickly or to sell before the price goes down, or a telemarketer will call using the same sort of pitch. Often the promoters will claim to have "inside" information about an impending development or to use an "infallible" combination of economic and stock market data to pick stocks. In reality, they may be company insiders or paid promoters who stand to gain by selling their shares after the stock price is pumped up by the buying frenzy they create. Once these fraudsters sell their shares and stop hyping the stock, the price typically falls, and investors lose their money.

  The Latest Variation of the "Pump and Dump" Scheme

  Some people are finding that they have received a "misdialed" call from a stranger, leaving a "hot" investment tip for a friend. The message is designed to sound as if the speaker didn't realize that he or she was leaving the hot tip on the wrong answering machine. If you get a message like this, it's not a wrong number at all. Instead, it is from someone who is being paid to leave these messages on a whole lot of answering machines. Check out "Wrong Numbers" and Stock Tips on Your Answering Machine for more information and to hear one of these scams.

  The Off-Shore Scam Under a rule known as "Regulation S," companies do not have to register stock they sell outside the United States to foreign or "off-shore" investors. In the typical off-shore scam, an unscrupulous microcap company sells unregistered Reg S stock at a deep discount to fraudsters posing as foreign investors. These fraudsters then sell the stock to U.S. investors at inflated prices, pocketing huge profits that they share with the microcap company insiders. The flood of unregistered stock into the U.S. eventually causes the price to plummet, leaving unsuspecting U.S. investors with enormous losses.

  How Do I Get Information About Microcap Companies?

  If you're working with a broker or an investment adviser, you can ask your investment professional if the company files reports with the SEC and to get you written information about the company and its business, finances, and management. Be sure to carefully read the prospectus and the company's latest financial reports. Remember that unsolicited e-mails, message board postings and company news releases should never be used as the sole basis for your investment decisions. You can also get information on your own from these sources:

  Caution If you've been asked to invest in a company but you can't find any record that the company has registered its securities with the SEC or your state, or that it's exempt from registration, call or write your state's securities regulator or the SEC immediately with all the details. You may have come face to face with a scam.

  What if I Want to Invest in Microcap Stocks?

  To invest wisely and avoid investment scams, research each investment opportunity thoroughly and ask questions. These simple steps can make the difference between profits and losses:

  We've spelled out the questions you'll need to ask in the following publications: Internet Fraud and Ask Questions. When you ask these questions, write down the answers you received and what you decided to do. If something goes wrong, your notes can help to establish what was said. Let your broker or investment adviser know you're taking notes. They'll know you're a serious investor and may tell you more — or give up trying to scam you. We've developed a Form for Taking Notes to help you. You'll find these and other useful publications on the Investor Information section of the SEC's website or from our toll-free publications line at (800) SEC-0330.

  Also, watch out for these "red flags":

  Additional Red Flags Don't deal with brokers who refuse to provide you with written information about the investments they're promoting. Never tell a cold caller your social security number or numbers for your banking and securities accounts. And be extra wary if someone you don't know and trust recommends foreign investments. For more tips on avoiding danger, be sure to read Cold Calling and The Fleecing of Foreign Investors.

  What If I Run Into Trouble?

  Act promptly! By law, you only have a limited time to take legal action. Follow these steps to solve your problem:

  We will forward your complaint to the firm's compliance department and ask that they look into the problem and respond to you in writing.

  Please note that sometimes a complaint can be successfully resolved. But in many cases, the firm denies wrongdoing, and it comes down to one person's word against another's. In that case, we cannot do anything more to help resolve the complaint. We cannot act as a judge or an arbitrator to establish wrongdoing and force the firm to satisfy your claim. And we cannot act as your lawyer.

  http://www.sec.gov/investor/pubs/microcapstock.htm

Fridays Stocks To Watch - TCLIF, ARSC, HTLJ, OPSY

TCLIF closed up 50% today and continues to show strength.  As I have said previously a close with a bid of $.0003 will further illustrate the stocks resiliency and turn my bias from bull to uber bull.

ARSC the stock continues to consolidate and I suspect at some point tomorrow the ask at $.0002 will begin to thin.  You never know, fireworks could come early for ARSC shareholders.

HTLJ the Guru's new buy and hold will not magically explode higher over night.  This stock will move over time and the Guru is proud to bring this stock to his readers.

OPSY I still have high hopes for this stock and think it could see $.01 short term.