Today is another fascinating day in the financial markets. Gold and silver are up again this morning to new highs for the year and some individual commodities in the agriculture space are also ticking higher. Traders are catching on to this commodity trend and so are small cap traders as shares of Extreme Biodiesel Inc. (OTCMKTS: XTRM) are up over 45% so far this morning. Today’s move though is a continuation of a strong rally that began a week ago as you can see from this chart.
There is no company news out today to explain today’s rally and the company itself isn’t actually a biodiesel or commodity company even though its name catches the attention of such traders. It actually is a real estate company that according to its website this morning is “currently investigating acquisition opportunities” and owns North Star Homes, a company that builds homes in Idaho.
However, a few days ago the company put out a tweet saying that they are going to announce forthcoming news:
We are preparing a news release will be out shortly— Extreme Biodiesel (@XTRMBio) July 28, 2020
This tweet brought a lot of excitement to traders as you can see here.
I own over 2 million shares excited to hold!— Joey Browning (@JoeyBrowning55) July 28, 2020
$XTRM set your ask at .20 or higher, the more of us that do that the higher are chances of getting there— poopoo (@poopoocachoo0) July 31, 2020
$XTRM Float 411 million. Merger confirmed. No R/S or toxic notes. Name change news coming soon. Revenue in the millions. Multiple pennies coming!!— pauline ralston (@paullina5555) August 2, 2020
I have no position in this stock and do not plan on buying it. My top stock pick for this month is a small cap mining producer. This situation in XTRM is simply too speculative to me. I don’t like to buy any stock or do any trade based on a tweet. I have specific trading setups I like to use.