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 today.
BioScrip ( (BIOS)) provides home infusion and other home care services, and pharmacy benefit management services in the U.S. This stock closed up 8.8% to $7.12 in Tuesdays trading session.
Tuesdays Range: $6.48-$7.45
52-Week Range: $5.61-$17.62
Tuesdays Volume: 3.73 million
Three-Month Average Volume: 1.80 million
From a technical perspective, BIOS ripped sharply higher here back above its 50-day moving average of $6.89 with monster upside volume. This move bravely pushed shares of BIOS into breakout territory, since the stock flirted with some near-term overhead resistance at $7.42. This stock closed just below that breakout level at $7.12. Market players should now look for a continuation move higher in the short-term if BIOS manages to take out Tuesday's high of $7.45 with high volume.
Traders should now look for long-biased trades in BIOS as long as its trending above its 50-day at $6.89 or above Tuesday's low of $6.48 and then once it sustains a move or close above $7.45 with volume thats near or above 1.80 million shares. If we get that move soon, then BIOS will set up to re-test or possibly take out its next major overhead resistance levels at $8 to $8.53. Any high-volume move above those levels will then give BIOS a chance to tag $9.
China Auto Logistic
China Auto Logistic ( (CALI)) is engaged in providing imported automobile sales and trading services and Web-based automobile trading sales and information platform to its customers. This stock closed up 4.6% to $4.08 in Tuesdays trading session.
Tuesdays Range: $3.85-$4.32
52-Week Range: $1.91-$6.89
Tuesdays Volume: 112,000
Three-Month Average Volume: 156,003
From a technical perspective, CALI spiked sharply higher here right above some near-term support at $3.74 with lighter-than-average volume. This move briefly pushed shares of CALI into breakout territory, since the stock flirted with some near-term overhead resistance at $4.25. Shares of CALI closed just below that level at $4.08, after hitting an intraday high of $4.32. Market players should now look for a continuation move higher in the short-term if shares of CALI manage to take out Tuesday's high of $4.32 to some more near-term resistance at $4.50 with high volume.
Traders should now look for long-biased trades in CALI as long as its trending above some near-term support levels at $3.74 or at $3.50 and then once it sustains a move or close above $4.32 to $4.50 with volume that hits near or above 156,003 shares. If we get that move soon, then CALI could easily tag $5 to $6.
Document Security Systems
Document Security Systems ( (DSS)) is engaged in fraud and counterfeit protection for all forms of printed documents and digital information. This stock closed up 8.7% to $2 in Tuesdays trading session.
Tuesdays Range: $1.84-$2.00
52-Week Range: $0.86-$3.64
Thursdays Volume: 933,000
Three-Month Average Volume: 898,519
From a technical perspective, DSS trended sharply higher here right off its 200-day moving average of $1.88 with above-average volume. This move is quickly pushing shares of DSS within range of triggering a major breakout trade. That trade will hit if DSS manages to take out Tuesday's high of $2 to some more near-term overhead resistance levels at $2.11 to $2.30 with high volume.
Traders should now look for long-biased trades in DSS as long as its trending above Tuesday's low of $1.84 or above some more near-term support at $1.73 and then once it sustains a move or close above those breakout levels with volume that hits near or above 898,519 shares. If that breakout hits soon, then DSS will set up to re-test or possibly take out its next major overhead resistance levels at $3 to $3.20. Any high-volume move above those levels will then give DSS a chance to tag its 52-week high at $3.64.
To see more stocks that are making notable moves higher today, check out the Stocks Under $10 Moving Higher portfolio on Stockpickr.
-- Written by Roberto Pedone in Delafield, Wis.
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.