Another under-$10 stock worth watching is Coffee Holding ( JVA), an integrated wholesale coffee roaster and dealer in the U.S. This stock has been a major winner so far in 2011, with shares up over 120%. That said, the stock has been a major loser in the last three months, with shares off by over 55%. If you take a look at the chart for Coffee Holding, you'll see that this has started to find some big buying support off of a previous support zone at around $6.90 a share. This was the level from which buyers stepped into this stock in a big way back in June, before shares ran up toward $30.94 in just a month and a half. Large traders have once again stepped back into this stock and started to buy at $6.90 a share just a few trading sessions ago. As long as this $6.90 level holds, then this stock should continue to rebound and trade substantially higher. I would also like to point out that JVA is bouncing off of massively oversold levels. The current relative strength index reading is below 30. That's an area that I look for strength to move into a stock for confirmation that it could be oversold. Market players should now watch for JVA to trade above $10.02 a share (50-day) on strong volume for the next trigger that it wants to go higher. Look for volume that's tracking in close to or above its three-month average action of 1.39 million shares. >>5 Stocks Showing Relative Strength Poised to Break Out You could be a buyer of this stock off any weakness with a mental stop just below $6.90 a share, or you could buy it off strength once it takes out the 200-day at $10.02 a share. If we do see a big rebound, then I would target a run back towards $14 to $16 a share, which is very close to its 50-day moving average of $15.92. This is a heavily shorted stock, with over 26% of the float sold short by the bears. The short-sellers have also been increasing their bets from the last reporting period by 24.9%, or by about 159,900 shares. I think the short-squeeze is already underway, so keep this name on your trading radar for the coming days and weeks. >>Practice your stock trading strategies and win cash in our stock game.