WatchIt Technologies Inc. (PINK:WTCT) has definitely proved its PR skills in the last couple of days. By means of an incessant flow of news throughout this month, it managed to produce an increased investor interest that was immediately felt on the market.
Since last Thursday, WTCT stock started to press on the resistance line and the next day it exploded 110% higher on a volume of 400 million shares, which is ten times higher than the daily average. Almost all of the company’s float was turned over this day, which makes it clear why a gain of such scale occurred.
The following days, however, the stock went sharply downwards as a result of the profit taking pressure. The last two days WTCT has been playing with the 200-MA, which is currently acting as its resistance. [BANNER]
The hype with WTCT stock was created around the announced increase in the company’s net income. The last financial report shows that WTCT is still generating an operating loss, but this loss has decreased since last year.
Yesterday, the surge was caused by a press release which stated that WTCT had renewed communications with a large military sub contractor for a specialized version of the diesel fuel reformer.
A couple of months ago there was a similar scenario when WTCT surged more that 1,000% up from its $0.0005 support. At present, there is no guarantee that the stock will resist the attraction of its previous trading range, unless the company issues more substantial news in the coming days.
