Los Angeles 2/11/2014 9:22:33 PM
News / Stocks

Green Baron Finds Micro Cap Market Sweet Spot for Grand Slam

Drop in Big Cap Stocks has Positive Effect on Many Small and Micro Cap Stocks; and The Green Baron Knows Why

The Green Baron Report’s yearly “January Effect” stock picks rallied as much as 1,120% with their more than 750,000 subscribers literally hitting it out of the park.  Specifically, the selection of Plandai Biotech (OTCQB: PLPL) rallied the Green Baron pick price of .245 per share on January 2, 2014 to hit a high of $2.99 by the end of that money, and rallied even further in the beginning of February to hit $3.12.  The other two “January Effect” picks released were LIG Assets, Inc. (LIGA) up as much as 105% in January and TNI BioTech (TNIB) which rallied as much as 47.28%. Both LIGA and TNIB are expected to join PLPL type gains in the months ahead according to The Green Baron.


The January Effect is typically defined as a general increase in stock prices during the month of January.  This rally is generally attributed to an increase in buying, which follows the drop in price that typically happens late in the year when investors, seeking to create tax losses to offset capital gains, prompt a sell-off.


The already amazing results of the three Green Baron “January Effect” stock ideas are made even more amazing considering the fact they occurred in a month the ended horribly for the general market.   The Dow fell more than 5% in January, the worst January since 2009.  The S&P slipped more than 3% and the NASDAQ shed nearly 2% in January.


So why does The Green Baron believe big cap stock returns will lag returns for small cap and microcap stocks?


Since the Dow Jones Industrial Average collapsed in 2008 losing over a third of its value for the year, the DJII has been up every year since then capped by the largest percentage gain in 2013 of 26.5%.  Based on our experience at The Green Baron Report, investors typically migrate back to micro and small cap stocks after a prolonged rally in big cap stocks with at least a portion of assets in search for greater gains. 


In 2007 and 2008, investors in microcap stocks were nearly wiped out completely.  To make matters worse, increased regulation and severe reduction in the number of brokerage firms that execute orders in low priced stocks has limited interest in this market.


However, recent massive percentage gains in many low priced stocks, particularly in the marijuana sector, have sparked the interest and investments dollars of those looking for big time returns.  Even if an investor devotes 5% of a portfolio or even 20% of profits made over the past few years to high risk securities, it could turn into a boon to the market caps of low priced stocks. 


The massive gains already seen in some microcaps in 2014 also create a larger pool of money that will now play in the microcap investment space.  This money is then spread around to more low priced stocks that might have been considered dead for years and now suddenly spring to life.


The Green Baron Report is a great way to find some of these stocks that may suddenly wake up again or are already headed higher.  The Green Baron Investors Society, home of The Green Baron Report just celebrated its 12th year in business and recently released their 112th fully profiled Green Baron “Stock Pick” Nuvilex, Inc. at .123 per share.  NVLX recently hit a new year high at .225 and The Green Baron expects it to continue higher over the near-term.  


The best news of all for traders is that joining The Green Baron Investors Society is fast, easy and absolutely free. Members receive exclusive Green Baron Reports, research, analysis, resources and tools in addition to what many investors hail as the best free stock picks on Wall Street. Interested parties can join The Green Baron Investors Society by visiting www.TheGreenBaron.com then clicking any of the “Join” icons located throughout the website, or directly at the following link JOIN NOW.  It is also suggested that members receive “Text Alerts” by texting the word “JOIN” to 561-284-3259.