This morning the DOW fell over 90 points for what is a dull stock market trading open, however shares of Renewal Fuels, Inc. (OTCMKTS: RNWF) are trading up over 100% for a morning double in price. The volume on the stock is intense to make it one of the most actively traded stocks in the number of individual trades executed so far this morning on the US OTC exchange. As you can see from the chart, this stock has smashed through recent highs to surge today.
This type of price action gets this stock on trader’s screens. The rise is being driven by what should be considered to be rumors. The stock is basically a shell company, as the company Renewal Fuels has no revenue and no products. What it does have after today’s rise is an $8 million dollar market cap and rumors on Twitter and social media consisting of hopes that it will soon to do a merger or acquisition to justify the share price.
Those rumors have been fueled by a press release the company issued this morning to report that Alka Badshah has been named the new CEO of the company. This press release states that she “will oversee various acquisitions, joint ventures, and investments in profitable businesses within psychedelic, cannabis, and hemp industries. Additionally the Company will be offering ancillary support and financial services like capital management services, compliance management, merchant processing, consulting, access to capital markets, and payroll services for these businesses.”
This news and price action has brought attention to traders on Twitter:
In today’s market, with a relentless ten month stock market rally, many traders are looking to jump on to momentum, buying whatever moves the most on their computer monitors. Even last week’s volatility in the markets has not deterred the individual trader from taking action with their stock trading buys. This stock is too speculative for me. I have no position in this stock and neither does Mike Swanson, the head editor of this website. We are not going to trade it. To get Mike’s free stock trading updates to find out what he is trading just click here.