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 Triggering Breakouts


Another under-$10 stock that looks ready to trigger a near-term breakout trade is Depomed (DEPO - Get Report), which is a specialty pharmaceutical company initially focused on neurology, pain and other diseases of the central nervous system. This stock has been soaring higher during the last six months, with shares up 34.9%.

This biotech player has a major catalyst on the horizon. On March 4, the FDA will hold an advisory committee meeting for their drug Serada to evaluate whether it is a safe and efficacious treatment for menopausal hot flashes.

>>4 Biomed Stock Stars Losing Their Luster

If you take a look at the chart for Depomed, you'll notice that this stock has been uptrending strong for the last three months, with shares soaring from its low of $5.35 to its recent high of $7.15 a share. During that uptrend, shares of DEPO have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of DEPO within range of triggering a near-term breakout trade.

Market players should now look for long-biased trades in DEPO if it manages to break out above some near-term overhead resistance and its 52-week high at $7.15 share with high volume. Look for a sustained move or close above $7.15 a share with volume that registers near or above its three-month average volume of 283,651 shares. If that breakout hits soon, then DEPO will set up to re-test or possibly take out its next major overhead resistance levels at $8 to $9 a share.

Traders can look to buy DEPO off any weakness to anticipate that breakout and simply use a stop that sits close to some near-term support at $6.63 a share or its 50-day at $6.36 a share. One can also buy off strength once DEPO takes out $7.15 a share with volume and then simply use a stop that sit near that $6.63 level.
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
ARC $4.17 0.00%
BSPM $1.33 0.00%
DEPO $16.80 0.00%
MITK $8.04 0.00%
MDGN $4.85 0.00%


Chart of I:DJI
DOW 17,750.91 -140.25 -0.78%
S&P 500 2,063.37 -18.06 -0.87%
NASDAQ 4,763.2240 -54.37 -1.13%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs