One under-$10 name that looks poised for higher prices is
(LIVE - Get Report)
, which delivers local customer acquisition services for small and medium-sized businesses. It provides online marketing Internet directory services. This stock is off to an extremely hot start in 2012, with shares up over 70%.
If you take a look at the chart for LiveDeal, you'll see that since April this stock has been uptrending strong, with shares soaring from a low of $3.87 to a recent high of $7.67 a share. During that uptrend, shares of LiveDeal have been mostly making higher lows and higher highs, which is bullish
technical price action
. That move has also just pushed this stock into breakout territory since shares took out some near-term overhead
on Wednesday at $6.90 to $6.95 a share with heavy volume. That move yesterday pushed the stock to a high of $7.67 and volume hit 217,600 shares, which is well above its three-month average volume.
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Market players should now look for long-biased trades in LIVE if it can hold that breakout above $6.90 to $6.95, and once it takes out Wednesday's high of $7.67 a share with high-volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average volume of 54,458 shares.
If we get that action soon, then LIVE should easily re-test and possibly take out its next significant overhead resistance level at $8.74 a share. In fact, this stock could easily hit $10 to $12 a share if we get a
above $7.67 and then $8.74 a share.
If you like the look of LIVE here, then you could buy this stock anytime its trending above $6.90 to $6.95, and simply use a stop that's a few percentage points below those levels. You could also just buy it once it takes out $7.67 with high volume, and then simply use a stop at around $6.90 a share.
Another possible support zone to key off of is Wednesday's low of $6.10 if you want to give it some more room for your stop.