DELAFIELD, Wis. (Stockpickr) -- These under-$10 stocks were spiking higher on Wednesday. Here's how to trade them today.
Quantum Fuel Systems Technologies Worldwide (QTWW) engages in the design, development, and production of compressed natural gas storage tanks and packaged fuel systems, and other fuel and propulsion systems for alternative fuel vehicle applications in the U.S. and internationally. This stock closed up 2.8% to $8.33 in Wednesday's trading session.
Wednesday's Range: $8.00-$8.43
52-Week Range: $1.85-$9.30
Thursday's Volume: 577,000
Three-Month Average Volume: 724,174
From a technical perspective, QTWW spiked notably higher here right above its 50-day moving average of $7.74 with lighter-than-average volume. This stock has been trending range bound over the last two months, with shares moving between $6.85 on the downside and $9.30 on the upside. Shares of QTWW are now starting to spike higher and move within range of triggering a big breakout trade above the upper-end of its sideways trading chart pattern. That trade will hit if QTWW manages to take out some key overhead resistance levels at $8.48 to $9 and then once it busts above its 52-week high at $9.30 with high volume.
Traders should now look for long-biased trades in QTWW as long as it's trending above its 50-day at $7.74 and then once it sustains a move or close above those breakout levels with volume that hits near or above 724,174 shares. If that breakout hits soon, then QTWW will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $10 to $12.