5 Breakout Stocks Under $10 Set to Soar
DELAFIELD, Wis. (Stockpickr) -- There isn't a day that goes by on Wall Street when certain stocks trading for under $10 a share don't experience massive spikes higher. Traders savvy enough to follow the low-priced names and trade them with discipline and sound risk management are banking ridiculous coin on a regular basis.
Just take a look at some of the big movers in the under-$10 complex from Thursday, including Blonder Tongue Labs (BDR), which exploded higher by 46%; Interphase (INPH), which also surged higher by 45%; Chinanet Online (CNET), which ripped higher by 37%; and FreeSeas (FREE), which trended up by 20%. You don't even have to catch the entire move in lower-priced stocks such as these to make outsized returns when trading.
Low-priced stocks are something that I tweet about on a regular basis. I frequently flag high-probability setups, breakout candidates and low-priced stocks that are acting technically bullish. I like to hunt for low-priced stocks that are showing bullish price and volume trends, since that increases the probability of those stocks heading higher. These setups often produce monster moves higher in very short time frames.When I trade under-$10 names, I do it almost entirely based off of the charts and technical analysis. I also like to find under-$10 names with a catalyst, but that's secondary to the chart and volume patterns. Read More: Triple Your Gains With These 5 Cash-Rich Companies With that in mind, here's a look at several under-$10 stocks that look poised to potentially trade higher from current levels.