Another under-$10 stock in the medical equipment and supplies complex that looks poised for some decent upside is Fonar (FONR - Get Report), which is engaged in the business of designing, manufacturing, selling and servicing magnetic resonance imaging scanners, which utilize MRI technology for the detection and diagnosis of human disease, abnormalities, other medical conditions and injuries. This stock has been skyrocketing so far in 2012, with shares up over 150%.
If you take a look at the chart for Fonar, you'll notice that this stock made a huge run in March and April after it broke out above $2.84 a share with high volume. That breakout set the stock off to the upside with shares tagging a high of $6.80 a share in a very short timeframe. Since hitting that high, shares of Fonar have pulled back to a recent low of $3.40 a share. That move pushed the stock back below its 50-day moving average of $3.92, but on Wednesday the stock recaptured that moving average after it closed up 13.4% to $4.30 a share with above-average volume.