Another under-$10 stock that looks ready to trigger a sharp move higher is Silicon Graphics (SGI - Get Report), a technical computing company that develops, markets and sells a range of computing servers and data storage, as well as differentiating software. This stock has been trending lower so far in 2012 with shares off by around 48%.
If you take a look at the chart for Silicon Graphics, you'll notice that this stock has been destroyed by the sellers with shares dropping from its February high of $14.93 to a recent low of $5.02 a share. That big move lower has now created an extremely oversold condition since shares of Silicon Graphics have been showing a relative strength index reading of below 30 for the past couple of weeks. Since this stock flashed some high-volume strength on Wednesday, shares of Silicon Graphics could be preparing to rebound sharply higher.
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