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

TravelCenters of America

Another under-$10 stock that looks ready to trigger a near-term breakout trade is TravelCenters of America (TA - Get Report), which operates and franchises travel centers mainly along the U.S. interstate highway system. This stock has been on fire in 2013, with shares up 58% so far.

This company has a catalyst trade on the horizon, since the firm will report its fourth-quarter earnings on Monday, March 18. This sets up the stock from some possible bullish price action ahead and potentially after the quarter is reported.

>>5 Earnings Stocks Poised to Pop

If you take a look at the chart for TravelCenters of America, you'll notice that this stock has been uptrending strong over the last month, with shares moving higher from its low of $6.44 to its recent high of $7.60 a share. During that uptrend, shares of TA have been mostly making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of TA within range of triggering a near-term breakout trade.

Market players should now look for long-biased trades in TA if it manages to break out above some near-term overhead resistance levels at $7.60 to $7.64 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 315,943 shares. If that breakout hits soon, then TA will set up to enter new 52-week-high territory above $7.98 a share. Some possible upside targets off that breakout are $8 to $9.95 a share.

Traders can look to play TA for some upside action ahead of the quarter if that breakout triggers soon, and you can also wait until after the quarter is reported to play TA if it clears the key overhead resistance levels I've highlighted above.

Traders can buy TA off any weakness to anticipate that breakout and simply use a stop that sits just below some key near-term support levels at $7.01 to $6.71 share. One can also buy off strength once TA takes out those breakout levels with volume and then simply use a stop that sits just below $7.25 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
GGS $0.11 -3.08%
BV $2.96 0.00%
FLML $9.19 0.00%
SCMP $11.25 0.00%
TA $6.70 0.00%


Chart of I:DJI
DOW 16,027.05 -177.92 -1.10%
S&P 500 1,853.44 -26.61 -1.42%
NASDAQ 4,283.7530 -79.3910 -1.82%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs