3 Stocks Under $10 Triggering Breakout Trades

DELAFIELD, Wis. (Stockpickr) -- As part of your daily routine as an active trader or investor, it's important to track the stocks in the market that are making the biggest percentage gains and the biggest percentage losses.

Stocks that are making large moves to the upside are favorites among short-term traders who want to capture some of that massive volatility. Stocks that are making big-percentage moves 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 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.

CTC Media

CTCM ChartCTCM data by YCharts

CTC Media (CTCM), together with its subsidiaries, operates as an independent media company in the Russian Federation and internationally. This stock is trading up 4.5% to $2.06 in Tuesday's trading session.

  • Tuesday's Range: $1.97-$2.08
  • 52-Week Range: $1.80-$10.90
  • Tuesday's Volume: 52,000
  • Three-Month Average Volume: 566,360

From a technical perspective, CTC Media is spiking higher here right above some near-term support at $1.88 with lighter-than-average volume. This counter-trend higher for CTC Media in the face of a sizeable market decline is now starting to push this stock within range of triggering a near-term breakout trade. That trade will trigger if this stock manages to take out some near-term overhead resistance at $2.09 with high volume.

Traders should now look for long-biased trades in CTC Media as long as it's trending above Tuesday's intraday low of $1.97 or above more near-term support at $1.88 and then once it sustains a move or close above $2.09 with volume that hits near or above 566,360 shares. If that breakout begins soon, then this stock will set up to retest or possibly take out its next major overhead resistance levels at $2.25 to $2.50, or even its 50-day at $2.82.

Cleveland BioLabs

CBLI ChartCBLI data by YCharts

Cleveland BioLabs (CBLI), a biopharmaceutical company, focuses on developing pharmaceuticals designed to address diseases with unmet medical need. This stock is trading up 12.4% to $3.84 in Tuesday's trading session.

  • Tuesday's Range: $3.44-$3.99
  • 52-Week Range: $1.84-$13.80
  • Tuesdays Volume: 228,000
  • Three-Month Average Volume: 715,879

From a technical perspective, Cleveland BioLabs is ripping sharply higher here and counter-trending in a weak tape right above some near-term support at $3.38 with lighter-than-average volume. This stock has attempted to carve out a double bottom chart pattern over the last few weeks, with shares finding buying interest at $3.43 to $3.38. Now this stock is spiking higher off those support levels and it's quickly moving within range of triggering a big breakout trade. That trade will trigger if this stock manages to take out some key near-term overhead resistance at $4.23 with high volume.

Traders should now look for long-biased trades in Cleveland BioLabs as long as it's trending above those double bottom support levels and then once it sustains a move or close above $4.23 with volume that hits near or above 715,879 shares. If that breakout begins soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at its 200-day moving average of $4.88 to $5 a share.

Aoxing Pharmaceuticals

AXN ChartAXN data by YCharts

Aoxing Pharmaceuticals (AXN), a specialty pharmaceutical company, researches, develops, manufactures and distributes various narcotic, pain-management and addiction treatment pharmaceutical products primarily in the People's Republic of China. This stock is trading up 0.63% to $1.61 in Tuesday's trading session.

  • Tuesday's Range: $1.60-$1.67
  • 52-Week Range: $0.18-$3.48
  • Tuesday's Volume: 101,000
  • Three-Month Average Volume: 1.01 million

From a technical perspective, Aoxing Pharmaceuticals is trending modestly higher here right above some near-term support at $1.45 with lighter-than-average volume. This slight move higher is a sign of relative strength considering the overall market decline, and now shares of Aoxing Pharmaceuticals are starting to trend within range of triggering a near-term breakout trade. That breakout will hit if this stock manages to take out its 50-day moving average of $1.75 and then above more key resistance at $1.90 with high volume.

Traders should now look for long-biased trades in Aoxing Pharmaceuticals as long as it's trending above some key near-term support at $1.45 and then once it sustains a move or close above those breakout levels with volume that hits near or above 1.01 million shares. If that breakout triggers soon, then this stock will set up to retest or possibly take out its next major overhead resistance levels at $2.27 to $2.40 a share.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.

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