Okay, so I know I just got done on this whole I don’t trade stocks any more spiel, but I was in the loop on an awesome trade that came to my attention recently from a company called Jayhawk Enterprises (JYHW).

First off, a bit of background information about Jayhawk: they are a crude oil and natural gas drilling company with approximately 80,000 gross acres of oil wells and natural gas refineries in Kansas and 15,000 in North Dakota. They have been relatively under the radar for a couple of years trading at around 20 cents per share since they went public. But last month, Jayhawk made the following announcement about a new acquisition of oil rich property that has sent share prices soaring and is forecasted to be the primary catalyst driving share prices to new levels over the next couple of months. Here’s the news feed courtesy of Reuters:

“Jayhawk Energy, Inc. announced the closing of Jayhawk’s $1.5 million debenture financing with a number of institutional investors. The debenture financing will allow Jayhawk to proceed with its development program in its Crosby, Ratcliffe formation, oil pool located in Northwestern North Dakota, which Jayhawk acquired in 2008 from JED Oil (USA).”

This announcement was made on December 14 of last year, and you can see that share prices had an immediate explosive response to this news:

That is an insanely high momentum trend forming! You can see it’s not just forming higher swing highs and higher swing lows, but the distance between each jump is getting higher as the stock explodes upward, which means that this trend is likely only just getting started. Now I don’t typically mess around with cheap stocks, but this one is majorly undervalued and has the potential to increase 50-100 percent over the next several months, so I give it a solid buy rating and recommend it to people looking to earn some great returns on value investing.