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

Magnum Hunter Resources

Another under-$10 stock that looks poised for higher prices is Magnum Hunter Resources (MHR), an independent oil and gas company engaged in the exploration for and the exploitation, acquisition, development and production of crude oil, natural gas and natural gas liquids, primarily in the states of West Virginia, Ohio, Texas, Kentucky and North Dakota and in Saskatchewan, Canada. This stock is off to a slow start in 2012, with shares down by over 18%.

If you take a look at the chart for Magnum Hunter Resources, you'll notice that back in early May, this stock plunged from $6.45 to its June low of $3.55 a share with heavy volume. During that slide lower, shares of MHR were consistently making lower highs and lower lows, which is bearish technical price action. After hitting that $3.55 low, shares of MHR went on to enter a range bound trend, with shares moving between $3.42 on the downside and $4.48 on the upside. A move outside of that range will now likely setup the next major trend for MHR.

>>8 Stocks Benefiting From North America's Energy Boom

Traders should now look for long-biased trades in MHR if this stock can manage to break out above some near-term overhead resistance levels at $4.37 to $4.48 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 action of 1.4 million shares. If that breakout triggers soon, then look for MHR to re-test and possibly take out its 200-day moving average of $5.15 a share. If that 200-day gets taken out with volume, then MHR could re-test that May high of $6.45 a share. Traders can look to buy MHR off weakness and simply use a stop that sits close to its 50-day moving average of $3.91 a share. One could also buy off strength once MHR takes out those resistance levels, and then simply use a stop at around $4.20 to $4.06 a share.
3 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

Check Out Our Best Services for Investors

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
XIDE $0.00 0.00%
MHR $0.15 0.00%
ALXA $0.34 6.30%
DCTH $0.25 -9.70%
RGEN $21.03 -0.05%


Chart of I:DJI
DOW 15,868.89 -336.08 -2.07%
S&P 500 1,834.71 -45.34 -2.41%
NASDAQ 4,228.1390 -135.0050 -3.09%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs