3 Penny Stocks That Are Showing High Volume Right Now
One strategy that penny stocks investors tend to use is looking for stocks with higher than average volume. This can help to see which penny stocks or blue chips are trending, and can indicate that there may be a reason to watch it.
While volume is not nearly the only indicator to go by, it is a very useful metric when it comes to penny stocks in particular. Aside from understanding if a stock is trending, volume also directly impacts liquidity. If there is high volume, it will be extremely easy and fast when it comes to buying and selling a stock. However, if volume is low, it can take a long time for different orders to go through.
If we have abnormal volume, as mentioned above, it can indicate that something is going on with the stock. This would mean that investors should take a close look at any news, press releases, or other announcements that could be affecting the company. So, with all of this in mind, let’s take a look at three penny stocks to watch with high volume right now.
3 High Volume Penny Stocks to Watch Right Now
- Eqonex Inc. (NASDAQ: EQOS)
- Moving iMage Technologies Inc. (NYSE: MITQ)
- Gaotu Techedu Inc. (NYSE: GOTU)
Eqonex Inc. (NASDAQ: EQOS)
One of the biggest gainers of the day so far is EQOS stock. By EOD, shares had rocketed higher by almost 50%, adding $2.20 in value to EQOS. While it technically isn’t a penny stock anymore at almost $7 per share, it did start the day as one. This gives EQOS stock a five-day gain of almost 90% and a one-month gain of over 110%. While gains like these are not unheard of, they are always exciting for investors to consider.
To understand why Eqonex moved, we have to take a closer look at its business. For starters, Eqonex is a financial services company that offers a cryptocurrency exchange, an integrated trading platform, and a securitization advisory service. Because cryptocurrency is flying right now, its likely that EQOS is seeing the result.
“Institutional participation in crypto is at an inflection point. Our institutional clients and professional crypto traders want to work with experts they can trust, and our investment in highly experienced professionals reflects our commitment to delivering a best-in-class, compliant and transparent cryptocurrency platform.”The CEO of EQOS, Richard Byworth
All of this is very positive for the company and shows that it has a strong business to work off of. With that in mind, does it deserve a spot on your list of penny stocks to watch?
Moving iMage Technologies Inc. (NYSE: MITQ)
Moving iMage Technologies Inc. is a penny stock that has climbed by around 4% in the past five days. With a YTD drop of over 88%, MITQ stock has not turned any heads in the past six months. However, at $2.77 per share, could MITQ have value moving forward? It’s worth noting that when it IPO’d back in July, shares went for around $24. Some investors believe that it could still be in a correction from that high, and as a digital cinema operator during Covid, this makes sense.
For some added context, MITQ is a tech company primarily, that operates in the digital cinema industry. The company offers custom equipment and other various off-the-shelf cinema products. Moving iMage Technologies is involved in the design, manufacturing, integration, and installation of these products. One of its products, the CineQC, is a software solution for cinema presence management and remote-control systems.
On October 21st, the company received an award for a New Crystal City, Virginia Alamo Drafthouse Location. This is the 5th Alamo Drafthouse location award from this ownership group, and the 39th overall Alamo Drafthouse location equipped by Moving iMage Technologies. Now a new Alamo Theater is being scheduled to open in Summer 2022. This will be a 9-screen 50,000-square-foot Alamo Drafthouse.
“We pride ourselves on providing the latest technology solutions and highest levels of service, and this follow-on award demonstrates the strength of our partnership with the ownership group.”The Senior VP of Furniture, Fixtures, and Equipment Sales for MiT, Jerry Van de Rydt
While the in-person cinema industry has taken a hit this year, declining case numbers could be good news for MITQ. Considering its recent higher than average volume, do you think MITQ stock is worth adding to your penny stocks watchlist?
Gaotu Techedu Inc. (NYSE: GOTU)
Gaotu Techedu Inc. is a penny stock that is in a similar position to MITQ. With a 93% drop YTD, shares of GOTU stock have only just found a bottom. In the first two weeks of October, GOTU stock had climbed by over 30% before falling back to a relatively low loss for the month. But, we do continue to see short periods of sizable spikes (and falls) with GOTU stock.
If you’re not familiar, Gaotu Techedu is a company offering educational services in China. It offers K-12 after-school tutoring courses for a wide variety of subjects. These subjects include History, English, Chinese, Geography, Physics, and many more. It also offers test preparation and foreign language courses for English and Japanese. So what has Gaotu been up to recently?
On September 21st, the company released its unaudited financial results for 2021. The company’s net revenue went up 35.3% during this period to a total RMB2,232.3 million. Its gross billings and paid course enrollments increased 12.2% and 4.1% respectively. In addition, it experienced a large net loss instead of a net income like last year. All of this is very positive for the company, and shows that it is working hard to grow right now.
“We say that 2014 is Gaotu’s first attempt as a startup, and 2016 is our second start, then we can also say that 2021 is our third start. We should always keep the goal of education in mind, always firmly believe that education is a noble profession. It’s undeniable that we have boundless faith in the bright future of the Chinese education industry.”The Chairman and CEO of Gaotu, Larry Xiangdong Chen
Moving forward, it will be interesting to see how GOTU stock performs in the future. For now, will this company be on your penny stock watchlist?
Are These Penny Stocks on Your Watchlist?
If you’re making a penny stocks watchlist in November, there are plenty of options to choose from. However, with so many choices, investors need to be selective with the ones they pick. As a result of the sizable bullish sentiment in the stock market right now, we continue to see a large amount of volatility across the board.
With the right information at your side, investors can use this volatility to make money with penny stocks. But without a proper trading strategy, it can be just as easy to lose money with small caps. Considering this, are these penny stocks on your watchlist right now?