Well, August certainly was a roller coaster for most of us, wasn't it? Investors saw both incredible highs and stunning lows as the month winded up, and September is looking to be just as volatile as schools and offices commence re-opening amid a still virulent pandemic.

If you don't know anything about technical analysis, there's no better time to start learning than now. After all, volatility can be your best friend if you're trading based on a stock's charting patterns. Below, I've listed some interesting plays with what look to be bullish set-ups. In these tumultuous times, I hope you'll find them profitable in the upcoming autumn and winter seasons.

Some of the set-ups I describe below may no longer be relevant or intact as of the time you read this article. Please conduct your own due diligence. Many stocks mentioned here were also discussed in the Peter Leeds Newsletter. Peter may own shares in some of the investments mentioned, in which case that fact will be clearly indicated. Please note that penny stocks are notoriously volatile.

GSE Systems, Inc. (GVP)

Software company GSE Systems, Inc. (GVP) has seen a multiple bottom pattern over the past six months (in April, then again in July – and potentially another one over the first week or so of September), which could suggest that a bullish trend reversal is near. GVP's awesomely named awesome oscillator at 0.0203 is also hinting at hidden strength in this stock.

Chart showing the share price performance of GSE Systems, Inc. (GVP)
TradingView.com

Atossa Therapeutics, Inc. (ATOS)

Atossa Therapeutics, Inc.'s (ATOS) low (read: bullish) relative strength index (RSI) of 27.89 is what first caught my eye about this biotech stock. It's one of my favorite technical indicators, and an RSI around the level of the 20s to 30s can be an auspicious sign for a stock that has fallen on hard times. I also note an abundance of four-price dojis in the stock's chart, which signifies investor uncertainty and could mean that Atossa's 34% fall over the past month is at an end.

Chart showing the share price performance of Atossa Therapeutics, Inc. (ATOS)
TradingView.com 

Yiren Digital Ltd. (YRD)

Like Atossa, Yiren Digital Ltd. (YRD) has a stellar RSI, which was hovering at 28.65 as of the time I was writing this article. Yiren Digital is also ending the month of August off with an auspicious hammer signal – which, after a 67% tumble from its high point over the past year, will hopefully bring better days ahead for shareholders.

Chart showing the share price performance of Yiren Digital Ltd. (YRD)
TradingView.com

TAT Technologies Ltd. (TATT)

I'm very much liking the looks of the white Marubozu candlestick that appeared at the end of August for TAT Technologies Ltd. (TATT). (It looks like a simple white rectangle without an upper or lower wick.)

Why? Because it seems to indicate that this Israeli aerospace/defense firm could be starting up a sustained uptrend after seeing (and suffering the brunt of) two bearish Marubozu candlesticks earlier in the month. Trading volume is not quite as high as I'd like, however, so I will exit the position quickly if the stock isn't acting the way I expect it to.

Chart showing the share price performance of TAT Technologies Ltd. (TATT)
TradingView.com

Wireless Telecom Group, Inc. (WTT)

I'm seeing a bunch of different technical indicators portending an improved near-term share price performance for Wireless Telecom Group, Inc. (WTT). Its moving averages are especially favorable, with 12 out of the 17 moving average levels that TradingView measures pointing to Buy. Multiple bullish Marubozu candlesticks at the end of August may likewise prove positive for the stock. 

Chart showing the share price performance of Wireless Telecom Group, Inc. (WTT)
TradingView.com

Penny stocks are volatile and can generate catastrophic losses. Price levels in this article are hypothetical and do not represent buy recommendations or investment advice. Keep in mind that it's your responsibility to make trading decisions through your own skilled analysis and risk management.

Peter Leeds is the author of several books, including the international bestseller, "Penny Stocks for Dummies." He and his team also issue a newsletter devoted exclusively to penny stock picks and analysis, as well as a popular YouTube channel PeterLeedsPennyStocks.