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.
Amarin (AMRN) - Get Report, a biopharmaceutical company, focuses on the development and commercialization therapeutic products for the treatment for cardiovascular diseases in the U.S. This stock closed up 5.7% to $1.85 in Thursday's trading session.
Thursday's Range: $1.71-$1.85
52-Week Range: $1.36-$7.98
Thursday's Volume: 2.54 million
Three-Month Average Volume: 4.99 million
From a technical perspective, AMRN spiked sharply higher here back above its 50-day moving average of $1.82 with lighter-than-average volume. This spike is quickly pushing shares of AMRN within range of triggering a major breakout trade. That trade will hit if AMRN manages to take out Thursday's high of $1.85 to some more key overhead resistance at $1.99 with high volume.
Traders should now look for long-biased trades in AMRN as long as its trending above Thursday's low of $1.71 or above more near-term support levels at $1.68 to $1.60 and then once it sustains a move or close above those breakout levels with volume that hits near or above 4.99 million shares. If that breakout materializes soon, then AMRN will set up to re-fill some of its previous gap-down-day zone from January that started near $2.50. Any high-volume move above $2.75 will then give AMRN a chance to re-fill some of another previous gap-down-day zone last October that started above $4.50.
Inovio Pharmaceuticals (INO) - Get Report, together with its subsidiaries, discovers and develops synthetic vaccines and immune therapies focusing on cancers and infectious diseases. This stock closed up 12.6% to $3.64 in Thursday's trading session.
Thursday's Range: $3.07-$3.64
52-Week Range: $0.49-$3.95
Thursday's Volume: 17.07 million
Three-Month Average Volume: 7.84 million
From a technical perspective, INO skyrocketed higher here right off its 50-day moving average of $3.06 with strong upside volume. This spike is starting to push shares of INO within range of triggering a big breakout trade. That trade will hit if INO manages to take out Thursday's high of $3.64 to some more key overhead resistance levels at $3.89 to its 52-week high at $3.95 with high volume.
Traders should now look for long-biased trades in INO as long as it's trending above its 50-day at $3.06 or above $3 and then once it sustains a move or close above those breakout levels with volume that hits near or above 7.84 million shares. If that breakout gets underway soon, then INO will set up to enter new 52-week-high territory above $3.95, which is bullish technical price action. Some possible upside targets off that breakout are $4.50 to $5.
Adamis Pharmaceuticals (ADMP) - Get Report, a biopharmaceutical company, engages in the development and commercialization of specialty pharmaceutical products in the therapeutic areas of oncology, immunology and infectious diseases, and allergy and respiratory. This stock closed up 0.79% to $6.40 in Thursday's trading session.
Thursday's Range: $6.31-$6.40
52-Week Range: $3.40-$13.09
Thursday's Volume: 76,000
Three-Month Average Volume: 109,711
From a technical perspective, ADMP trended modestly higher here with lighter-than-average volume. This stock has been consolidating and trending sideways for the last three, with shares moving between $6.05 on the downside and $7.25 on the upside. Shares of ADMP are now starting to perk up a bit right below its 50-day moving average of $6.50. Market players should now look for a move back above its 50-day moving average of $6.50 with strong volume.
Traders should now look for long-biased trades in ADMP as long as it's trending above some key near-term support levels at $6.12 to $6.05 and then once it sustains a move or close above its 50-day at $6.50 with volume that hits near or above 109,711 shares. If we get that move soon, then ADMP will set up to re-test or possibly take out its next major overhead resistance levels at $6.90 to $7.10, or even $7.25. Any high-volume move above those levels will then give ADMP a chance to tag $8 to $9.
To see more stocks that are making notable moves higher, check out the Stocks Under $10 Moving Higher portfolio on Stockpickr.
-- Written by Roberto Pedone in Delafield, Wis.
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At the time of publication, author had no positions in stocks mentioned. Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.