This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Stocks Under $10 Set to Soar

Pluristem Therapeutics

One under-$10 stock in the biotechnology and drugs complex that's trading within range of triggering a major breakout trade is Pluristem Therapeutics (PSTI - Get Report), which engages in the commercialization of non-personalized (allogeneic) cell therapy products for the treatment of several severe degenerative, ischemic and autoimmune disorders. This stock is off to a hot in 2012, with shares up over 30% so far.

Just this morning, Pluristem received an invitation from the U.S. National Institutes of Health to submit its placenta-based stem cells to the agency for evaluation in treating acute radiation syndrome. Maxim Group also initiated coverage on the stock on Wednesday with a buy rating and an $8 price target.

If you take a look at the chart for Pluristem Therapeutics, you'll notice that this stock recently broke out above some near-term overhead resistance at $2.60 to $2.65 a share with monster volume. As the stock broke out, volume clocked in at 1.9 and 4.4 million shares, which is well above its three-month average volume of 347,989 shares. Following that breakout, this stock soared and touched its recent high of $3.85 in just two trading sessions. Since tagging that high, this stock has pulled back to around $3 a share, and it's now setting up to potentially breakout again and rip higher.

>>4 Biotech Stocks Under $10 With Relative Strength

Traders should now look for long-biased trades in PSTI if it can manage to trigger a breakout trade above some near-term overhead resistance at $3.70 to $3.85 a share with high volume. Look for a sustained move or close above $3.85 a share with volume that registers near or above its three-month average action of 347,989 shares. If that breakout triggers soon, then PSTI will have an excellent chance of re-testing and possibly taking out its 2011 high of $4.38 a share. In fact, if we get a high-volume breakout, then I believe that PSTI is heading towards $5 to $6 a share after it clears $3.85 to $4.38 a share with volume.

If you're in the bull camp on PSTI, then I would look to buy this stock off any weakness, and simply use a stop around $3.20 to $3 a share. I would prefer to get long this name off strength once it clears $3.70 to $3.85 with volume, and then simply use a stop a few percentage points below $3.50 a share. Those lower stops I suggested for buying off weakness should only be used if you get into this name on a significant pullback.
2 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
ZLCS $5.39 0.00%
CRTX $0.00 0.00%
PACB $9.65 0.00%
PSTI $1.79 0.00%
VRNG $1.89 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs