The Micro Cap Opportunity

03/09/2008
The Micro Cap Opportunity 'Weekly' - Week of March 3rd - March 7th, 2008

Announcements & General Commentary:

So this marks your final Sunday afternoon/evening delivery of the ‘Weekly’. Beginning this week, the ‘Weekly’ will be delivered to you on Friday after the close.

We are already busy researching potential new picks and could have one for you as soon as this week, so stay tuned.

IMPORTANT REMINDER - Make sure that info@microcapopportunity.com has been added to your inbox or address book so you don't miss any of the action!

Featured Pick: Recap & Outlook
MARINER’S CHOICE INTERNATIONAL INC (OTC: MCII)

For those of you that didn’t pick up on our release late Thursday evening/ early Friday morning, we released a MCII as our newest ‘Featured Pick’ this past week.

I recommend that everyone read our coverage of the company, if you have not done so already, to get a clearer picture of what the company does and the rationale for our “Speculative Buy/Trade” alert. Then do some due diligence and we think you’ll find that a small company with environmentally safe products focused on the marine industry represents a compelling play - particularly when it is has major wholesale distribution that is getting stronger, impressive retail domestically that is doing the same, it just initiated sales late in the third quarter of 2007 and the market is has given the company a paltry $5 Million market cap.

It’s early yet, folks, and we are already up on the position. Check it out!

Read our initial coverage on Mariner’s Choice International Inc.

OUR PICK: MCII.PK
OUR RATING: Speculative Buy/Trade
CURRENT PRICE: $.082
PRIMARY ALERT PRICE: $.07 (17.1% Return)
SHORT-TERM TARGET: $.16 (Potential 128% Return from Primary Alert Price)

Featured Pick: Recap & Outlook
SARISSA RESOURCES INC (OTC: SRSR)

Another exciting week in the trading of SRSR, for sure. Despite the fact that we haven’t had any news from the company since February 20th, the stock continues to make runs at its resistance. This is good for us because the stock continues to show its strength and resolve when it retraces after upside moves. The problem is that it has not been able to break its resistance at $.012....YET.

After putting in its low of $.0075 for the week during Tuesday’s trading session, SRSR moved up in a big way to test its $.012 resistance on Thursday only to close the week at $.01.

Folks, this stock is showing incredible resilience and the technical picture is looking good as the trend line for the lows since December have been steadily higher. We have now tested $.012 resistance twice in the past month. We think the 3rd time’s the charm here and we move to our $.015 target price. The question is: When?

Stay tuned.

Read our initial coverage on Sarissa Resources, Inc

OUR PICK: SRSR.PK
OUR RATING: Speculative Buy
CURRENT PRICE: $.01
PRIMARY ALERT PRICE: $.0075 (33.33% Return)
SHORT-TERM TARGET: $.015 (Potential 100% Return from Primary Alert Price)
LONG-TERM TARGET: ?????

Featured Pick: Recap & Outlook
RED BRANCH TECHNOLOGIES INC (OTC: RBTI)

PHEW......That was rough

It looks like the bloodletting in RBTI shares has abated, at least for the moment, as the stock leveled off this past week to establish a trading range between $.09 and $.11. While there has been no news since February 27th, the stock has seemingly managed to gain some footing - or at least the sellers are either A.) gone and out at this point; or B.) even the sellers realize that at $.11 per share (a $10 Million market cap) the stock is too cheap to sell (after all, the company’s Magellan360 sub did $22 Million in sales in ’07, right?)

At this point, its tough to decide what to do. We think its to early yet to fully average down on this play. We still want at least one more week to see if any weak hands get shaken out of the stock before we make the call. For those with cast iron stomachs, a bid between $.09 and $.095 might get you filled, otherwise we think you wait this play out a bit longer.

Once it does recover, we think the stock easily gets back into the mid $.20’s and low $.30’s before it makes a run to test the $.45 highs. Remember folks, this is a thin one. It went up on several hundred thousand shares in buying and came down on the same. It stands to reason that it can make a similar run to the upside once again, so stay patient and stay tuned.

Read our initial coverage on Red Branch Technologies

OUR PICK: RBTI.PK
OUR RATING: Accumulate & Trade
CURRENT PRICE: $.11
PRIMARY ALERT PRICE: $.25 (56% Drawdown)
SHORT-TERM TARGET: $.60 (Not Reached)
SECONDARY ALERT PRICE: $.15 (26% Drawdown)
SECONDARY ALERT TARGET: $.45 (200% Potential Return)
LONG-TERM TARGET: $.60+ (Potential 140%+ Return)

Featured Pick: Recap & Outlook
REELTIME RENTALS INC (OTC: RLTR)

Last week’s trend in RLTR is down without-a-doubt. During Thursday and Friday’s sessions in particular the stock began testing the $.028 levels again. Volume has been on the light side too with less that 500k shares traded on each day of last week besides one exception (Tuesday’s session).

News has been wholly unflattering as it has pertained more to ICTN - the pink sheet listed company that developed and licensed the GRID technology to RLTR - than it has to RLTR. In fairness, one of the releases did announce that RLTR CEO, Barry Henthorn, was quitting his job as CEO of ICTN (something we think he should have done LONG AGO...seriously, how do you effectively steward two companies at once? You don’t), but that was about it.

Read our initial coverage on Reeltime Rentals

OUR PICK: RLTR.PK
OUR RATING: Accumulate & Trade
CURRENT PRICE: $.032
PRIMARY ALERT PRICE: $.055 (41% Drawdown)
HIGH SINCE PRIMARY ALERT: $.08 (+45.4% Return)
SHORT-TERM TARGET: $.14 (Potential 154% Return)

As always, do your due diligence (its a journey, not a destination), be smart when you trade these stocks, operate within your limits and LETS MAKE SOME MONEY!

Warm Wishes & Happy Trading,

~MCO Staff

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