This $2 Stock Is on a Tear

Shares of MoneyGram (Nasdaq: MGI) are on a tear. I’ve written about the company before in Trade of the Day, and War Room members have traded the shares resulting in a profit at least a half-dozen times.

This morning, the shares broke above $2. Take a look at what one member said… “MGI north of 2, various positions way up. Wrote puts, was put a lot of the stock in low 1s, (like 2 minus .70) Calls are up triple digits.” – John P.

Members like John have taken the MoneyGram trade two steps further by selling puts and buying calls. Judging by his post, he picked up a lot of stock in the low $1s when the shares cratered with the market in March and April.

I love to see when members trade microcap stocks exactly how they’re meant to.

During panics you must ask yourself, “What has changed?” If you can’t come up with at least three good reasons for selling a stock, then you should be buying more.

Most investors do the exact opposite. They sell during panics and buy during euphoria. Don’t believe me? Look at your portfolio and trading history and see what you did in 2008 and 2009.

If you bought at or close to the lows in 2009, you would have made almost five times your money by today – even after the March crash – just by investing in an S&P 500 index fund. Imagine how much more you would have made if you bought shares in stocks like Microsoft or Amazon or even Apple. And then think about how much more you would have made by buying some small cap stocks!

A lot of successful investing has more to do with knowing when to buy and when to sell than what to buy and what to sell. Of course, you want to buy good companies.

In The War Room, that is exactly what we do. We tell you in real time what to buy, when to buy it and when to sell it.

My partner, Bryan Bottarelli, is a master at timing entry and exit points. He uses precise technical points for entry and exits, which is exactly what you need in markets that are both volatile and stable.

Action Plan: The MoneyGram trade is a great example of how timing and knowledge can lead to triple-digit gains with a stock play in less than a couple of months. We recommend both stock and options trades in The War Room.

If you were in The War Room, you would have heard in real time that members were adding to their MoneyGram position. Just take a look at what I said about MoneyGram on March 17. Today, two months later, the shares moved over $2!

Open Trade MGI

Buy another quarter position in MGI stock at $1.20 or LOWER. Current bid/offer is $1.16 by $1.17 – try to buy it there! We have one more buy to go after this one.

P.S. If you want to know what to buy, when to buy it and how to buy it, in real time… we have something special for you. For a limited time… we are guaranteeing you at LEAST 300 WINS this year. But you must act right now. Join us in The War Room – click here.

P.P.S. There will be no Trade of the Day mailing on Monday, as it’s Memorial Day and the markets are closed. Thank you, veterans, for all you did for us, do for us and prayers for those who are not here to witness the results of their efforts.