Stocks that are making large moves like these are favorites among short-term traders because they can jump into these names and try to capture some of that massive volatility. Stocks that are making big-percentage moves either up or down are usually in play because their sector is becoming attractive or they have a major fundamental catalyst such as a recent earnings release. Sometimes stocks making big moves have been hit with an analyst upgrade or an analyst downgrade.
Regardless of the reason behind it, when a stock makes a large-percentage move, it is often just the start of a new major trend -- a trend that can lead to huge profits. If you time your trade correctly, combining technical indicators with fundamental trends, discipline and sound money management, you will be well on your way to investment success.
With that in mind, let's take a closer look at a several stocks under $10 that are making large moves to the upside.
Thursday's Range: $4.85-$5.38
52-Week Range: $3.52-$9.43
Thursday's Volume: 5.17 million
Three-Month Average Volume: 724,325
From a technical perspective, GORO ripped sharply higher here right off its 200-day moving average of $4.71 with monster upside volume. This sharp spike higher on Thursday briefly pushed shares of GORO into breakout territory, since the stock flirted with some near-term overhead resistance at $5.31. Shares of GORO tagged an intraday high of $5.38, before closing just below that level at $5.31. Market players should now look for a continuation move to the upside in the near-term if GORO manages to take out Thursday's intraday high of $5.38 with strong volume.
Traders should now look for long-biased trades in GORO as long as it’s trending above its 200-day moving average at $4.71 or above its 50-day moving average of $4.71 and then once it sustains a move or close above $5.38 with volume that hits near or above 724,325 shares. If that move starts soon, then GORO will set up to re-test or possibly take out its next major overhead resistance levels at $6.10 to $7.