5 Health Care Stocks Under $10 Ready to Rip Higher

MADISON, Wis. ( Stockpickr) -- At Stockpickr, we track daily portfolios of stocks that are the biggest percentage gainers and the biggest percentage losers.

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.

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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 today.

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MEI Pharma

MEI Pharma ( MEIP) is developing cancer therapeutics based on the central design of naturally occurring compounds called isoflavones. This stock closed up 3.8% to $8.88 onThursday.

Thursday's Range: $8.30-$9.19

52-Week Range: $1.98-$13.20

Volume: 325,000

Three-Month Average Volume: 86,000

From a technical perspective, MEIP ripped higher here right above its 50-day moving average of $7.63 with heavy upside volume. This move is quickly pushing shares of MEIP within range of triggering a major breakout trade. That trade will hit if MEIP manages to take out some near-term overhead resistance levels at $9.01 to $9.40 and then once it clears more resistance at $9.65 to $10.08 with high volume. At last check, MEIP hit an intraday high of $9.19 and volume was well above its three-month average action of 86,000 shares.

Traders should now look for long-biased trades in MEIP as long as it's trending above Thursday's low of $8.30 or above its 50-day at $7.63, and then once it sustains a move or close above those breakout levels with volume that hits near or above 86,000 shares. If that breakout triggers soon, then MEIP will set up to re-test or possibly take out its next major overhead resistance levels at $12 to $13.18.

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