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.
Fuel-Tech (FTEK) provides boiler optimization, efficiency improvement and air pollution reduction and control solutions to utility and industrial customers worldwide. This stock closed up 4.6% to $6.55 a share in Thursday's trading session.
Thursday's Range: $6.23-$6.60
52-Week Range: $3.55-$9.63
Thursday's Volume: 392,000
Three-Month Average Volume: 489,672
From a technical perspective, FTEK trended higher here with decent upside volume. This stock has been downtrending badly for the last three months, with shares falling from its high of $9.63 to its recent low of $5.61. During that downtrend, shares of FTEK have been making mostly lower highs and lower lows, which is bearish technical price action. That said, shares of FTEK have now started to rebound off that $5.61 low and enter a short-term uptrend. That move is now pushing shares of FTEK within range of triggering a near-term breakout trade. That trade will hit if FTEK manages to take out some near-term overhead resistance levels at $6.62 to $6.57 and then once it clears its 50-day moving average of $7.09 with high volume.