Set trailing stop to lock in double-digit gains on U.S. Geothermal

Hot Stock Confidential is cooking up double-digit gainer #26 for 2009:  U.S. Geothermal (AMEX:HTM) soared 25% today. Time to secure gains with this simple strategy!

by J. Christoph Amberger

Baltimore—TFN: After months of see-sawing up and down and up and down within a 10% of our entry price of $0.86, alternative energy stimulus magnet U.S. Geothermal (AMEX:HTM) soared over 25% today, bringing our gains to 30% and better.

I had recommended this stock to members of Hot Stock Confidential on Feb. 26 with a window of 30-50% in mind by November.

Given the capricious ups and downs of both the stocks and the market, I suggested to use today’s upswing to secure the gains we’ve got. Accordingly, I recommended to place a stop loss at $1.04… which would get us out with 20% gains intact if the stock falls back. Around noon, when the stock hit $1.15, I upgraded that stop loss to $1.12… for a minimum of 30% gains.

This makes sure we’ll be locking in double-digit gainer #26 for HSC members this year. (You know, you really should tell somebody about that!)

Given the hype-driven nature of this stock, it may fall back. And if it does, I’d still maintain my original February price range of “buy below $0.90.”

But for the time being, let’s hang on for the ride. I suggest adjusting the stop loss upward by nickel increments. Right now, HTM is blinking between $1.14 and $1.15. Should it keep moving, I recommend you keep upgrading that stop loss in nickel increments… but retroactively! (Meaning, You’d set a stop loss at $1.17 when the stock hits $1.20 etc!)

Honestly, folks… given the fact that we racked up 26 double- and triple-digit gainers just like this so far this year, I’d really urge you to consider becoming a member of Hot Stock Confidental at your very earliest convenience!

Because there’s plenty more where these 26 came from!