Biomagnetics Diagnostics Corp. (PINK:BMGP) broke a long period of silence last Wednesday, causing a stir on the market. Today a promoter is pushing the stock.
A shareholder update on Mar. 7 and an announcement on Tuesday led to an increase in volume and price, but yesterday the volume was gone. BMGP closed up 2.82% at $0.0255 on just 81.5 thousand shares.
One way to bring volume to a penny stock is by paying for a promotion, and someone did. A third party paid $38 thousand for a week of pumping BMGP.[BANNER]
Even if a promotion manages to bring attention and volume, there is a potential downside. As most traders know, promotions tend to cause a short spike in price which often goes away in a matter of minutes.
The announcement from Tuesday was about an agreement that could potentially bring about $1 million to BMGP, which would be a needed financial injection. For now BMGP isn’t generating revenue and needs financing.
We will have to wait and see how things work out for BMGP. Another press release may help the situation, but so far there isn’t one.
