To OTC Journal Members: 
 

Another Week, Another Profit

As covered in Saturday's edition, I'm developing an uncanny knack for getting us into these small stocks ahead of the big volume surges. This week will be no exception- I'm giving you an idea for the open tomorrow, and I fully expect volume and interest to materialize over the coming week.

This is another junior oil and gas company- I'm focused on this sector because that's where the money and interest are flowing.

This particular story reminds me a lot of another past huge win- FieldPoint Petroleum (AMEX: FPP)- Why Fieldpoint? because FPP is located in Austin, Texas, just like today's idea. In addition, FPP is drilling and developing oil properties in Oklahoma- just like today's new idea.

FieldPoint (AMEX: FPP) goes back to November 18th when I described it as a "Little Company with a Really Big Drill". Just click on that link and you can go back and look at the edition. Now, take a look at the chart.

I don't even need to explain it. Just look at the volume and price appreciation since that 18th day in November. 

This is not complicated stuff. Click on the link, and read the Nov 18 edition if you so choose. The green circle- that's where the stock was on November 18th when I published. About $3.

Now the stock is $4.50, and has been as high as $5.50. If you traded out near the top- 60% on your money. Nothing to think about, agree, or disagree. Those are the facts. 

So, if you missed that one, how about the next one. Here it is:
 

Imperial Resource (OTC BB: IPRC): Ready to Gush

It's not the wild cat oil industry of 1940's Hollywood fame, or the good fortune that befell Jed Clampett when he was "Huntin For Some Food" and found Black Gold- Texas Tea. It's a new, scientific oil wild catter- They have all kinds of 3D seismic data and new ways to look for reserves.

Then, after they figure out where they are going to drill for these oil reserves, they then figure out how to get it out of the ground, and they have a new tool at their disposal- it's called "Horizontal Drilling".

They go down where the data looks promising, and they end up drilling sideways into reservoirs of oil and nat gas that were previously unreachable. This technology is going to allow the US to harvest a lot more of its natural resources, pulling us out of the clutches of OPEC and Khaddifi.

IPRC is already generating some revenues. It owns 14% of a producing well. That's not exciting.

What is exciting is their Oklahoma Based "Chisholm Trail Property"- of which they have a 50% working interest. The company views this development as relatively low risk.

IPRC has identified 15 drill sites in the 5,000 acre area, and the preliminary data indicates about $130 million worth of the light crude sweet stuff could be found at the end of the 15 drill bits.

There's likely both oil and nat gas in their concession, and the properties are located less then a mile from gas pipelines. 

IPRC is also embarking on another ambitious project- their purchase and launch of a unique Salt Water Disposal Project in Texas. It's near the Barnett Shale, where horizontal drilling sites must be "Frac'ed" to recover the hydrocarbons. This process creates contaminated water that must be cleaned, and IPRC is positioning itself to provide the service. More on this in a future publication.

As with all these junior resource companies, volume and price surges are cyclical, and it looks like we might be on the verge of another price and volume surge. 

So, let's look at the chart for IPRC over the last couple of months. Check out late January and early February. The stock came from nowhere, and all of a sudden appreciated about 50% in two weeks on trading volumes approaching 2 million shares per day. 

Since the February 1st $1.20 peak, the stock has come down nicely as volume has shriveled. 

At the end of last week, this stock finally started a rebound phase.

Like OTC Journal predecessors FPP and BERX, I expect a volume and price surge akin to the last experiences. Therefore, we can reasonably expect to see this stock in the $.75 to $.80 range in short order.

Whether you've sat on the sidelines, made some great trades, or bought wrong or sold wrong over the last 4 profitable ideas, this is one of those right place, right stock, right timing situations if you act tomorrow.

As always, if the stock gaps open tomorrow morning, wait for it to come back a bit. 

The OTC Journal's recent history suggests it's important to act quickly when I come out with these new ideas. I like this one up to about $.60 with an $80 to $.90 price target in the near term. $.40 is my SSL (suggested stop loss).

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