Buying Penny Stocks on May 27th, Here’s What You Need to Know
After a positive day of trading penny stocks and blue chips, investors are excited about the future of the market. While market volatility still remains high, there is a lot of opportunity to be had for investors of all types.
In the past few weeks, we’ve seen some major downturns as a result of inflation, rising interest rates, and more. And because of that, it has been a tough time to be a penny stocks investor. So, with this in mind, let’s take a look at what you may have missed on May 26th.
Stock Market Recap May 26th, 2022
On May 26th, U.S. stocks saw a major uptick. With the S&P 500 up by 2% and the Dow Jones pushing up by more than 500 points, investors are excited to see some bullish sentiment return. The main news right now comes as retail earnings are stronger than expected.
This caused the S&P 500 Consumer Discretionary Index to push up by more than 5.6%, signaling its best performing day since April of 2020. So, with this in mind, let’s take a look at what to know about trading penny stocks on May 27th.
What to Know About Trading Penny Stocks Today
While Dow Futures are down by around 0.33% at the time of writing, it’s clear that investors are excited about the near future. But, we have to remember that major factors such as inflation and rising interest rates are still very much on the table.
So, while trading on Thursday, May 26th was positive, we can only expect that volatility will continue into the near future. Considering this, here are three penny stocks to add to your watchlist today.
3 Penny Stocks to Watch Today
- Avaya Holdings Corp. (NYSE: AVYA)
- Color Star Technology Co. Ltd. (NASDAQ: CSCW)
- Eargo Inc. (NASDAQ: EAR)
Avaya Holdings Corp. (NYSE: AVYA)
At EOD and into after-hours trading on May 26th, shares of AVYA stock managed to shoot up by over 10% and more than 3.9% respectively. This is a major gain for the company and one that comes after a five day losing streak of more than 30%. And, in the past month, shares of AVYA stock have fallen by over 64%.
With this, we see just how crucial this bullish move is. The only recent news from he company came on May 25th when it was named an ‘Exemplary Vendor’ by Ventana Research. While this is a speculative move for the company, it is exciting nonetheless. Considering this, will AVYA be on your list of penny stocks to watch today?
Color Star Technology Co. Ltd. (NASDAQ: CSCW)
Color Star Technology is a penny stock that we have discussed numerous times in the past few months. And on May 26th, shares of CSCW stock shot up by over 2.7% and more than 4.8% during trading and into after hours respectively. With a six month drop of more than 75%, this bullish move is an exciting one for investors to consider.
While there is no company-specific news to back this gain, Color Star does have a large role in the world of cryptocurrency and NFTs. And with many cryptocurrencies climbing on May 26th, CSCW’s move could be that of sympathy momentum. With this in mind, does CSCW deserve a spot on your penny stocks watchlist or not?
Eargo Inc. (NASDAQ: EAR)
With over 20% in gains during trading and more than 5.4% in gains during after hours, EAR is another penny stock in focus right now. As a biotech company, EAR has benefitted from the recent market bullishness on the biotech industry at large.
And, following a notice from the NASDAQ regarding its delinquent filing status, EAR has been in the hot seat and not in a positive way. After releasing its Q1 earnings a few days ago, the company is no longer the subject of this notice, and therefore, investors are more confident in the future of the company. While it is tough to say if EAR stock is worth buying or not, it could be worth looking into in greater detail.
Which Penny Stocks Are You Watching Right Now?
Finding penny stocks that are worth buying can be challenging in 2022. But, with so much going on in the stock market, there is a lot to take advantage of.
As traders, it all comes down to knowing where to look and how to use ongoing factors to your advantage. So, with all of this in mind, which penny stocks are you watching right now?