One under-$10 stock in the computer services complex that's trading very close to triggering a near-term breakout trade is Motricity ( MOTR), a provider of mobile data solutions serving mobile operators, consumer brands and enterprises, and advertising agencies.This stock has been crushed by the bears so far in 2012, with shares down by over 50%. If you take a look at the chart for Motricity, you'll notice that this stock recently ripped back above its 50-day moving average of 49 per cents with above-average volume. Shares of MOTR have also started to move above some near-term overhead resistance levels at 52 to 54 per cents with above-average volume. That action is now pushing MOTR within range of triggering a major breakout trade. >>5 Stocks With Big Insider Buying Traders should now look for long-biased trades in MOTR once it manages to break out above some near-term overhead resistance at 60 cents to 66 cents per a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average volume of 376,478 shares. If that breakout triggers soon, then MOTR will setup to re-test or possibly take out its next major overhead resistance levels at 79 cents to 90 cents per share. Any high-volume move above 90 cents could send MOTR to $1.10 to $1.20 a share or higher. Traders can look to buy MOTR off weakness long as its trending above its 50-day at 49 cents per share with strong upside volume flows. Or you can buy off strength once it clears 60 cents to 66 cents per share with volume, and then simply use a stop right below 54 cents to 52 cents. As of the most recently reported quarter, Motricity was one of Carl Icahn's holdings.
Shares of Motricity (Nasdaq:MOTR) were gapping down Friday morning with an open price 16.7% lower than Thursday's closing price. The stock closed at $1.32 yesterday and opened today's trading at $1.10.