Stock Mister Pick Trulan Resources Inc (OTCMKTS:TRLR) Once Again

It’s been exactly a week since we last wrote about Trulan Resources Inc (OTCMKTS:TRLR) and, against all odds, the ticker seems to be performing rather well. Last week, TRLR made some announcements that aren’t really going to have that much of an impact on the company’s well-being but, it would appear that they they did influence the investors’ decisions. The volume was rather big and by Friday, the ticker had gained as much as 54%.

The trend continues today and the pace is frantic. Just over an hour has passed since the opening bell and TRLR’s shares are already 59% above the previous close. The volume is also gigantic and by the end of the day we will probably see records being smashed. “Is there a reason for all the excitement?”, we hear you ask. Of course there is.

Let’s start with the big one. TRLR woke up early and issued a press release in which they say that some testing in their Chilean mines have been done and they found quite a lot of precious metals in there. The announcement itself is written in such a way that it almost managed to get even us excited not least because it states that the potential revenues from the property stand at around $2.6 billion.

That is enough to draw the attention of most traders out there, but still, an army of pumpers led by Stock Mister are also in to spread the word around. So far, we have received more than ten emails since yesterday and the total budget is estimated around $40 thousand. So it’s no wonder that even this early, the stock is really moving. The question on everyone’s mind, however, is “Where will it go from here?”.

There really is no one that could answer this with a reasonable degree of certainty. The volatility of penny stocks is infamous and we have seen TRLR, in particular, move both up and down at lightning speed. If you have a look through the historical prices, on April 11 and April 12, you will see exactly what we mean. During the first day TRLR made an impressive run and the ticker gained as much as 37% in just eight hours. The next trading session was quite disappointing, however, and by the end of the day they were down nearly 30% which basically means that they had wiped out all the gains.

Can you guess if there was a paid promotion running for them during those two days? You’re absolutely right, there was and Stock Mister were again at the forefront of the campaign. This time, however, with the news that came out hours ago, things will be different, you might think.

It is possible, but we somehow feel that it’s rather unlikely. Yes, they did announce that their properties are packed full of platinum, gold and all sorts of precious metals, but we have seen many other penny stock companies say the same things. They also say that they have secured $1 million dollars worth of debt but for some reason, they refuse to say who agreed to loan them the money.

Speaking of loans, TRLR have quite a lot of them already. That’s not that much of a surprise, but what’s interesting is the conversion options. We read through their latest financial statement once again and we saw that during the first quarter of 2013 they have managed to pay off $4,500 worth of debt… with 45 million shares of common stock. Quite a discount, you would agree.

We’re not suggesting that someone might want to sell his/her 45 million shares at a profit and push the price down, but we reckon that this is a fact worth considering before investing in TRLR

You might also want to keep in mind that there is a promotional campaign currently in full swing for them which, if history is anything to go by, will send the ticker to the bottom of the chart. Don’t believe us? You can take a look at Novagen Ingenium Inc (OTCMKTS:NOVZ)’s and Novus Acq & Dev Corp (OTCMKTS:NDEV)’s charts that you will find on the right. As you’d have probably guessed, both tickers were promoted by Stock Mister.