Stockpickr: 10 Rocket Stocks for the Long Haul

Since the start of the TheStreet.com's "Beat the Street" game, I've been putting together a weekly list of the 10 stocks that have the potential to move higher in the coming week.

As I mentioned in my Stockpickr column a week ago, the stocks best suited for such a stock-picking contest are those that could rocket in the short term. But is it possible to get the best of both worlds with stocks that have both short-term growth potential, making them ideal for a stock-picking contest, and strong fundamentals, making them solid picks for the long term?

In the very short term -- and by that I mean one day, one week -- the kind of stocks that move fast and furious are stocks that have been beaten down. As an example, testing on the Nasdaq 100, a stock that drops 10% in a day will on average be higher 2% one week later. Conversely, if a stock is up 10% in a day, it's usually down one week later.

So for the short term, beaten-down stocks -- and they're usually beaten down for a good reason -- are the way to go. I believe we can get the best of both worlds if we find beaten-down stocks that also have good fundamental characteristics for the long term.

I've used Stockpickr to create another portfolio of stocks that have the potential to move higher this week, but this list, Contest Stocks IV, consists of stocks that I believe could do well this week for various reasons I describe below and that also have good fundamentals for the long term.