DELAFIELD, Wis. (Stockpickr) -- At Stockpickr, we track daily portfolios of stocks that are the biggest percentage gainers and the biggest percentage losers.
>>5 Stocks Set to Soar on Bullish Earnings
Stocks that are making large moves like these are favorites among short-term traders because they can jump into these names and try to capture some of that massive volatility. Stocks that are making big-percentage moves either up or down are usually in play because their sector is becoming attractive or they have a major fundamental catalyst such as a recent earnings release. Sometimes stocks making big moves have been hit with an analyst upgrade or an analyst downgrade.
Regardless of the reason behind it, when a stock makes a large-percentage move, it is often just the start of a new major trend -- a trend that can lead to huge profits. If you time your trade correctly, combining technical indicators with fundamental trends, discipline and sound money management, you will be well on your way to investment success.
>>5 Stocks Ready to Break Out This Month
With that in mind, let's take a closer look at a several stocks under $10 that are making large moves to the upside today.
Dot Hill Systems
Dot Hill Systems (HILL) designs, manufactures and markets a range of software and hardware storage systems for the entry and mid-range storage markets. This stock closed up 2.8% to $2.88 in Tuesday's trading session.
Tuesday's Range: $2.76-$2.95
52-Week Range: $0.72-$3.18
Tuesday's Volume: 126,000
Three-Month Average Volume: 178,425
From a technical perspective, HILL bounced modestly higher here right above some near-term support at $2.72 with lighter-than-average volume. This move is starting to push shares of HILL within range of triggering a major breakout trade. That trade will hit if HILL manages to take out some near-term overhead resistance at $2.98 to its 52-week high at $3.18 with high volume.
Traders should now look for long-biased trades in HILL as long as it's trending above support at $2.72 or above its 50-day at $2.50 and then once it sustains a move or close above those breakout levels with volume that hits near or above 178,425 shares. If that breakout triggers soon, then HILL will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $4 to $4.50.
Demand Media
Demand Media (DMD) creates content that responds to actual consumer demand. This stock closed up 0.79% to $5.10 in Tuesday's trading session.
Tuesday's Range: $4.98-$5.14
52-Week Range: $4.72-$9.88
Tuesday's Volume: 1.11 million
Three-Month Average Volume: 625,240
From a technical perspective, DMD trended modestly higher here with strong upside volume. This stock has been downtrending badly for the last two months, with shares moving lower from its high of $6.79 to its recent 52-week low of $4.72. During that downtrend, shares of DMD have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of DMD might be signaling that its downside volatility is over on the short-term, since the stock is rebounding sharply with volume off its 52-week low.
Traders should now look for long-biased trades in DMD as long as it's trending above its 52-week low of $4.72, and then once it sustains a move or close above some near-term overhead resistance levels at $5.19 to $5.46 with volume that hits near or above 625,240 shares. If we get that move soon, then DMD will set up to re-test or possibly take out its next major overhead resistance levels at its 50-day moving average of $5.95 to $6.50.
ChinaCache International
ChinaCache International (CCIH) is a provider of Internet content and application delivery services in China. This stock closed up 11.7% to $8.08 in Tuesday's trading session.
Tuesday's Range: $7.20-$8.18
52-Week Range: $3.50-$10.64
Thursday's Volume: 524,000
Three-Month Average Volume: 351,049
From a technical perspective, CCIH ripped sharply higher here and broke out above some near-term overhead resistance at $7.50 with above-average volume. This stock recently plunged lower from its high of $10.64 to its recent low of $6.62 with heavy downside volume flows. Following that drop, shares of CCIH have now started to rebound off that $6.62 low, which could be signaling the downside volatility for CCIH is over in the short-term.
Traders should now look for long-biased trades in CCIH as long as it's trending above Tuesday's low of $7.20 and then once it sustains a move or close above Tuesday's high at $8.18 with volume that hits near or above 351,049 shares. If we get that move soon, then CCIH will set up to re-test or possibly take out its next major overhead resistance levels at $9 to $10.
Vicor
Vicor (VICR) designs, develops, manufactures and markets modular power components and complete power systems. This stock closed up 2% to $8.94 in Tuesday's trading session.
Tuesday's Range: $8.74-$9.05
52-Week Range: $4.74-$9.49
Thursday's Volume: 44,000
Three-Month Average Volume: 52,332
From a technical perspective, VICR spiked higher here right above its 50-day moving average of $8.22 with lighter-than-average volume. This move is starting to push shares of VICR within range of triggering a big breakout trade. That trade will hit if VICR manages to take out Tuesday's high of $9.05 to its 52-week high at $9.49 with high volume.
Traders should now look for long-biased trades in VICR as long as it's trending above Tuesday's low of $8.74 or above its 50-day at $8.22, and then once it sustains a move or close above those breakout levels with volume that hits near or above 52,332 shares. If that breakout triggers soon, then VICR will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are its next major overhead resistance levels at $10.50 to $11.50.
To see more stocks that are making notable moves higher today, check out the Stocks Under $10 Moving Higher portfolio on Stockpickr.
-- Written by Roberto Pedone in Delafield, Wis.
RELATED LINKS:
>>4 Stocks Spiking on Unusual Volume
>>5 Dividend Boosters That Could Really Pay Off
>>5 Stocks Under $10 Set to Soar
Follow Stockpickr on Twitter and become a fan on Facebook.
At the time of publication, author had no positions in stocks mentioned.
Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including
CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.
No comments:
Post a Comment