Biotech penny stocks continue to run HOT!
This week’s biotech penny stocks to watch list includes stocks moving on news of treatments for coronavirus, brain cancer, bone growth, and depression.
With so many hot stocks in this insane market, it can be overwhelming. How do you know which stocks to trade?
It’s my honor as a teacher to help you learn to spot the best opportunities. That’s why I’ve put together this list of hot biotech penny stocks to watch.
But remember, biotech penny stocks are stocks of small developmental companies — some may not even have a product on the market. They’re riding the pandemic hype train that popped up this year.
So don’t buy into the hype. Stay focused on the catalyst, pattern, and your trading strategy.
Let’s get to the top biotech penny stocks list and I’ll show you what’s on my radar and why…
Top Biotech Penny Stocks to Watch
These are the top stocks on my watchlist. ‘Watch’ is the key word here. There’s no guarantee that there’ll be a trading opportunity. Remember, these stocks move FAST.
Before we get to my list of stocks to watch, here are a few of my top resources for penny stocks…
- If you’re new to penny stocks, start here with this FREE online guide.
- Ready to learn how to build your own stock watchlist? This post is for you.
- Find out how I find all the stocks on my watchlists here.
How do I find hot stocks? I use StocksToTrade every day. For me, it has the best tools because I helped design it specifically for trading penny stocks. (I’m also an investor.) It has awesome charts, built-in scans, social media feeds, and so much more to help you do your research.
And its Breaking News Chat add-on feature is a game-changer in this hot market. It’s helped me make record profits in 2020.* Get a StockToTrade 14-day trial for only $7, or get it with the Breaking News Chat for only $17!
(*Please note: My results are far from typical. Individual results will vary. Most traders lose money. I have the benefit of years of hard work, dedication, and experience. Trading is inherently risky. Do your due diligence and never risk more than you can afford to lose.)
Now, let’s get to the top biotech penny stocks to watch this week…
Biotech Penny Stocks #1: Nymox Pharmaceutical Corporation (NASDAQ: NYMX)
NYMX is a research and developmental company. It’s currently developing drugs for the treatment of prostate cancer, hepatocellular carcinoma, and benign prostatic hyperplasia.
On December 18, the stock had its first green day with higher than average volume. I’ll watch to see if the stock continues its upward movement or if it consolidates and sets up for a breakout above $2.85.
Biotech Penny Stocks #2: Cocrystal Pharma, Inc. (NASDAQ: COCP)
COCP is a virus play. The company develops treatments for viral diseases. Its treatments for hepatitis C, influenza, coronavirus, and norovirus infections are all in different stages of development or trials.
On November 24, the stock started a multi-day run from under $1 to a high of $2.37. This stock’s a former runner, so it’s worth watching.
Biotech Penny Stocks #3: 9 Meters Biopharma, Inc. (NASDAQ: NMTR)
On December 7 the company announced positive results from a Phase 1b/2a trial of its proprietary drug to treat short bowel syndrome. Then on December 9, the company announced that the FDA granted orphan drug designation to its proprietary treatment of graft vs. host disease.
Two days later, the company announced a public offering of over 46 million shares of common stock at a price of 65 cents a share. The offering closed on December 15. Without the stock dilution pressuring the stock, it could have room to run.
Biotech Penny Stocks #4: Cerebain Biotech Corp. (OTCPK: CBBT)
CBBT has been trending upward since August 25 when the company announced it entered into a letter of intent to acquire the assets of another company, PKG, Inc.
The stock recently had a breakout above the $0.038 level. Trade this one cautiously — the company was given the ‘stop sign’ designation from the OTC Markets for not filing required disclosures.
Biotech Penny Stocks #5: CNS Pharmaceuticals, Inc. (NASDAQ: CNSP)
CNSP announced the FDA approved its investigational new drug application for its lead product candidate on December 17. Phase 2 trials of its brain cancer drug candidate will begin in the first quarter of 2021.
The stock gapped up on the news but has since been downtrending. I’ll watch for a possible bounce and short squeeze.
Biotech Penny Stocks #6: Ampio Pharmaceuticals, Inc. (NYSE: AMPE)
AMPE focuses on the development of therapies to treat inflammation.
On December 17, it announced highlights from the Phase 1 clinical trial of its intravenous treatment for respiratory inflammation caused by the coronavirus.
Biotech Penny Stocks #7: Mereo BioPharma Group plc (NASDAQ: MREO)
MREO announced a license and collaboration agreement with another company to continue to develop its new drug on December 17. The company got positive results from Phase 2b trials that the drug could increase bone growth, density, and strength.
Biotech Penny Stocks #8: VistaGen Therapeutics, Inc. (NASDAQ: VTGN)
On December 10, VTGN announced its nasal spray treatment for depression was granted a patent application in the Republic of Korea.
Last week, on December 17, the company announced it would be selling more shares from a shelf offering already filed with the SEC. (Noticing a pattern here?) The chart’s setting up for a breakout if it can get over the $1.50 level.
You can see from the chart that the good news didn’t spike the stock initially. It’s a good example of the informational inefficiencies in penny stocks.
Biotech Penny Stocks #9: Leap Therapeutics, Inc. (NASDAQ: LPTX)
LPTX is a biotech company that focuses on developing therapies for cancer. There’s no recent news on the stock or its products. It had a big red day on November 9, consolidated, and is now bouncing.
It’s creeping up to a breakout level of around $2.40 and a longer-term resistance area of $3.
Biotech Penny Stocks #10: Innovation Pharmaceuticals Inc. (OTCQB: IPIX)
This biotech company has been developing a new drug with anti-viral, anti-inflammatory, and anti-bacterial properties to fight against the coronavirus.
On December 21, the company announced its developmental drug would proceed to Phase 2 clinical trials after the FDA approved its investigational new drug application.
The stock gapped up on the news. It’s a former runner so it’s worth watching for continuation.
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Conclusion
Biotech penny stocks are stocks of small, developmental companies. These companies are usually desperate for cash. They need it to continue developing products and for testing and trials. Trade them with caution…
They’re known to be extremely volatile. They can have huge price swings. One minute they’re flying high on positive news — the next they’re down due to bad trial results, side effects, or stock dilution.
If you’re prepared to take advantage of the price swings, these stocks can offer great trading opportunities…
In my Trading Challenge chat room, my students and I talk about the hottest penny stocks. Most of my top students are moderators in the chat. They’re there to answer questions, share their opinions, and help out new students
If you want to join a community of top traders, apply for my Trading Challenge. I don’t accept everyone. I only want the most dedicated students who are willing to put in the time and effort it takes to become my next millionaire student. Could it be you?
What do you think of these biotech penny stocks to watch? Let me know in the comments … I love to hear from you!
The post Top Biotech Penny Stocks to Watch — December 23, 2020 appeared first on Timothy Sykes.