What to Know About Buying Penny Stocks on April 22nd
With another day of trading penny stocks here, there is a lot for investors to keep in mind. After a less-than-stellar day of trading yesterday, investors are eager for a bullish turnaround. During premarket, movers such as Gap Inc. (NYSE: GPS) and Amazon.com Inc. (NASDAQ: AMZN) are bringing in attention following big news from both ends. And because the stock market is so volatile right now, it’s worth understanding what you need to know about trading penny stocks today.
Stock Market News April 22nd, 2022
After yesterday’s bearish trading pattern, futures are mixed following hawkish sentiment from Fed Chair Jerome Powell. With bond yields climbing right now, there is a lot to be wary of regarding the future.
However, this volatility can be a major advantage for those who trade penny stocks. But, to take advantage of market swings, investors need to have a well thought out trading strategy and ensure that they are never trading with emotion. With this in mind, let’s take a look at three penny stocks that are climbing during premarket trading.
3 Penny Stocks Climbing During Premarket Trading
- Vallon Pharmaceuticals Inc. (NASDAQ: VLON)
- Moving Image Technologies Inc. (NYSE: MITQ)
- Redbox Entertainment Inc. (NASDAQ: RDBX)
Vallon Pharmaceuticals Inc. (NASDAQ: VLON)
One of the largest gainers of the day so far during premarket trading is VLON stock. By early morning, shares of VLON stock had shot up by more than 85% to over $2.10 per share. This is a substantial gain that comes after a one month drop of more than 45%. So, why are shares of Vallon Pharmaceuticals climbing right now?
The big news from the company came today as it announced the engagement of Ladenburg Thalmann & Co Inc. to begin looking at strategic ways to maximize shareholder value. While this will likely be a long process, this is a positive opportunity for investors to keep in mind. So, whether this makes VLON stock worth adding to your list of penny stocks to buy, is up to you.
Moving Image Technologies Inc. (NYSE: MITQ)
Another big gainer of the day during morning trading is MITQS stock, which managed to climb by 30%, which is no small feat. While many penny stocks climb with little to no news, the company did make an announcement during after hours trading yesterday.
On April 21st, it stated that it has entered into a strategic partnership with SNDBX, to begin bringing theatre experiences to gaming and e-sports. This is big news and should allow the company to begin expanding its reach in the e-sports market. And, with this new form of gaming, it’s clear that MITQ could begin to receive more attention moving forward. Considering that, will MITQ be on your penny stocks watchlist or not?
Redbox Entertainment Inc. (NASDAQ: RDBX)
Redbox Entertainment is a penny stock that is gaining attention right now with heightened volume. In the past five days, shares of RDBX stock have climbed by more than 30%. And, this significant bullish turnaround comes after a six month drop of more than 68%. So, why the major bullish momentum for Redbox Entertainment?
Well, one of the main reasons comes as RDBX stock is heavily shorted. In the past year or so, we’ve seen a major theme with highly-shorted stocks climbing substantially. This is known as a short squeeze and has happened with GME stock, AMC stock, and plenty of others. So, while RDBX stock is highly volatile, it could be worth keeping an eye on.
Which Penny Stocks Are You Watching Today?
Finding penny stocks that are worth buying can be tricky with such a volatile stock market. And because there is so much movement in 2022, there is a lot for investors to keep track of.
However, because of the sheer amount of momentum, there are also plenty of opportunities for investors to make money with small-caps right now. So, with that considered, which penny stocks are you watching today?