4 Stocks for Next Week: BARI, NEWT, MRLN, HYC

While the Penny Sleuth’s weekly watchlist is normally a Monday tradition, I thought we’d change things around this week, instead opting to take a look at four stocks for next week.

In case you’re not familiar, each week, the Penny Sleuth takes a look at a list of penny stocks that are exhibiting abnormal volume, strong technicals, upcoming news, or another catalyst that suggested they might be making a material move in the coming week.

As usual, while our Watchlist errs on the safe side of small-caps, using technical analysis to tell us where a stock is headed, we’ve opened the comments up to readers again this week, giving you the chance to offer up more speculative penny stock plays.

Check out the comments after this article to get a glimpse at a slew of new user-submitter penny stock picks – and the chance to submit your own!

First, though, let’s take a look at this week’s breakout penny stocks worth watching…

Bancorp Rhode Island (NASDAQ: BARI) – This tiny regional banking company operates 16 branches in Rhode Island, offering services to consumers and small- to mid-sized businesses. But what’s more interesting is this bank’s technical pattern. Shares of Bancorp Rhode Island are forming a bullish inverse head and shoulders pattern, a sign that shares could be headed significantly higher if they break through shoulder level. Wait for that initial upward move to happen before going long.

Newtek Business Services (NASDAQ: NEWT) – Small business servicer Newtek Business Solutions provides an interesting portfolio of services to small businesses in need of anything from web hosting to electronic payment processing. And shareholders could be getting ready to enjoy a bullish upswing in this stock right now. Shares of Newtek are sitting toward the bottom of an uptrending trading channel, getting ready to make a bounce higher. Wait for confirmation before making your move.

Marlin Business Services (NASDAQ: MRLN) – Marlin is an equipment financing specialist, providing companies with more than 100 categories of commercial equipment. While the company had been prepping for an upward move through an ascending triangle pattern, that pattern broke down yesterday, sending a strong “sell” signal to investors. It’s likely that this stock will continue to fall.

Hypercom Corporation (NYSE: HYC) – Transaction services company Hypercom just pushed its way above trend channel resistance last week. Now, with higher price levels tested and confirmed, this stock could make a higher move in the coming week. This company is relatively volatile, so keep a tight stop if you decide to take the trade.

Share Your Penny Stock Picks…

Once again, we’re going interactive this week…

Just post your best penny stock pick in the comments section of this week’s Watchlist by Friday, June 4. The reader with the best performing pick will score a Penny Sleuth Prize Package that includes a special edition DVD of I.O.U.S.A.

Cheers,
Jonas Elmerraji
Managing Editor, Penny Sleuth

May 28, 2010

4 Stocks for Next Week: BARI, NEWT, MRLN, HYC was originally featured in the Penny Sleuth. Check out Wall Street’s 5 Most Profitable Penny Stock Patterns Report.

This story was originally featured on Penny Sleuth.

Read the original story at Penny Sleuth :: Jonas Elmerraji