Alkaline Water Co., Inc. (OTCBB:WTER) Sold, Down 21% Last Friday

After five strong days of buying, the Alkaline Water Co., Inc. (OTCBB:WTER) fell on selling, on volumes above $3.27 million. WTER lost more than 21% to stand at 67 cents, and some of our predictions were fulfilled- that Friday or Monday at the latest, it would be time for selling, either from the pressure of short positions or as a general profit-taking.

WTER had just headed to its $1 levels again when the tides turned and now the struggle will be happening in a new range. And now, Timothy Sykes, investor and analyst, has come in with a negative opinion, stating that WTER is crashing again, and may repeat the losses from the middle of September.

The promoters by email seem to have abandoned WTER, as there are no new messages since September 23. Now, WTER has to prove if it has enough attraction on its own to pass the new week with less of a boost from the pump campaign.

By this time, it may be irrelevant if the “flagship product” of WTER is called Alkaline84 or Alkaline88- a few percentage points of water pH won’t make such a difference. True, a search for Alkaline88 yields an Amazon.com offering of a large water jug labeled Alkaline84. Added to this is the fact that alkaline water is not so hard to come by- it can be made in your kitchen, using a water filter.

When it comes to promoted stocks, even solid business promises pale in comparison to the drawbacks and red flags- since the latter are what should be watched, in order to avoid a costly mistake. Despite the $3 million, WTER did not manage too big a breakthrough, doubling in price, but going no further. Now, there is the very real threat of a crash to a lower range.

But even suspect, heavily promoted stocks don’t have rules about their fallout. Montalvo Spirits, Inc. (OTCBB:TQLA), very similarly promoted, did a double dead-cat bounce in the past weeks, and the net result is that the ticker is still hanging around the 37-cents range. At least TQLA seems a bit more serious about the naming and distribution of its products.

The recovery is also hard for GrillIT, Inc. (OTCMKTS:GRLT), an initially promising restaurant franchise company that got carried away with promotions, and crashed by more than 60% to drift sideways around $1.40.

For WTER, it will be an exciting new week anyway. Do your own research before you jump onto one of the prices that may be called a bargain. See if there isn’t a good reason for the lower prices, and don’t get caught in the fallout, unless you are sure you can afford it.