DELAFIELD, Wis. (Stockpickr) -- There isn't a day that goes by on Wall Street when certain stocks trading for $10 a share or less don't experience massive spikes higher. Traders savvy enough to follow the low-priced names and trade them with discipline and sound risk management are banking ridiculous coin on a regular basis.
Just take a look at some of the big movers in the under-$10 complex from Thursday, including Zalicus (ZLCS), which is ripping higher by 29%; Onconova Therapeutics (ONTX), which is soaring higher by 22%; and Arotech (ARTX), which is trending higher by 17%. You don't even have to catch the entire move in lower-priced stocks such as these to make outsized returns when trading.
One low-priced stock that's exploding higher today is biotechnology player Geron (GERN), which I highlighted in May 22's "5 Stocks Under $10 Set to Soar" at around $2 a share. I mentioned in that piece that shares of Geron were trending sideways and consolidating for the last two months, with the stock moving between $1.69 on the downside and $2.53 on the upside. This stock was just starting to spike higher off its 50-day moving average and move within range of triggering a major breakout trade above the upper end of its recent sideways trading chart pattern.
Guess what happened? Shares of Geron started to trigger that breakout on Wednesday after the stock ripped sharply higher and closed above $2.53 a share with heavy upside volume. Volume on Wednesday registered 13.5 million shares, which is well above its three month average action of 5.32 million shares. Shares of GERN are exploding higher again today with the stock trading up close to 30% at around $3.30 a share. That represents a monster gain of 70% from the time I first flagged this stock near $2 a share.