I don't particularly care for cheap stocks because, as you know, cheap stocks are cheap for a reason. But sometimes a cheapie hits my radar and I think I should share it with you.
I give you SOFO. I heard about this one from the Motley Fool CAPS program (whatever that is - but I thought I'd give them the props they deserve). SOFO does something with some folks somewhere but more importantly Yahoo finance thinks one of their main competitors is MSFT. You can't make this stuff up - SOFO with its 72 employees is a competitor of MSFT with its 71 thousand employees. No matter - the fact is SOFO is well regarded in some circles - everyone connected with the company is buying stock, it has already reported its earnings which were as good as a small company can expect and it has a very nice chart -
This is the weekly chart which is the way I like to look at my short term trades. It completed a BOB three weeks ago and it is possible that it will continue to rise. There is a very small institutional investment in the stock but for the most part institutions are not allowed to buy these kinds of companies because they are too small.
I don't know if I'm going to buy this or not - I think I might wait for it to break out over 4.50 and then take the shot at that point.
This is not an invitation to speculate in the stock market - speculation is bad for your financial health, buying stocks is gambling, gambling is bad. Don't gamble.