Groupon Bounces Back

If you picked up Groupon (GRPN) shares at the start of September then you timed it perfectly.  Groupon shares have bounced back 28% this month and are no longer a stock under $5.

However if you bought Groupon shares back in February you would be down 77%.  Groupon is a highly volatile stock and you can get burned if you trade on the wrong day.  Groupon shares are more than a buck from its four dollar 52-week low.  Today Groupon shares had a stellar day finishing at $5.34 for a 13.8% gain. 

Groupon shares jumped today after the company announced its mobile card reader.  It allows merchants to accept credit and debit cards by swiping them through a card reader attached to an iPhone or iPod touch.  Groupon is guaranteeing it has the cheapest rates — and will beat a merchant's current rates if it doesn't.

MASTERY Bottom line:

Mobile card reader is fine and dandy but it doesn't guarantee the stock becomes a 10 bagger from this point.

Mastery would love to say its all sunshine and butterflies from here on out for GRPN but that's crazy pills.

For those of you looking for a stock in the $5 range with a ton of volume, always in the news, jumps 10% +/- in a single day -- this is your play.

GRPN CHARTS