These 5 Stocks Under $10 Could Ignite Soon

There isn't a day that goes by on Wall Street when certain stocks trading for under $10 a share don't experience massive spikes higher. Traders savvy enough to follow the low-priced names and trade them with discipline and sod risk management are banking ridiculous coin on a regular basis.

Low-priced stocks are something that I tweet about on a regular basis. These are also the exact type of stocks that I love to trade and alert in real time. I frequently flag high-probability setups, breakout candidates and technically bullish patterns. These setups often produce monster moves higher in very short time frames.

When I trade under-$10 stocks, I do it almost entirely based off of the charts and technical analysis. I also like to find under-$10 stocks with a catalyst or that are in sector showing strength.

With that in mind, here's a look at several under-$10 stocks that look poised to potentially trade higher from current levels.

Dominion Diamond

If you take a look at the chart for Dominion Diamond (DDC) , you'll notice that this stock recently formed a double bottom chart pattern, after shares found some buying interest at $8.30 to $8.29 over the last six months. This stock has now started to trend higher off those support levels, and it's starting to move within range of triggering a near-term breakout trade.

Traders should now look for long-biased trades in Dominion Diamond if it manages to break out above some near-term resistance levels at $8.72 to $8.85 a share with strong volume. Look for a sustained move above those levels with volume that hits near or above its three-month average of 239,150 shares. If that breakout hits soon, then this stock will set up to re-test or possibly take out its next key resistance levels at its 200-day of $9.23 or its 50-day of $9.69, or even $10 a share.

Kinross Gold

If you take a look at the chart for Kinross Gold (KGC) , you'll notice that this stock recently formed a double bottom chart pattern, after shares found some buying interest at $3.23 to $3.20 over the last two months and change. Following that potential bottom, this stock has now started to trend modestly higher, and it is beginning to move within range of triggering a near-term breakout trade.

Traders should now look for long-biased trade in Kinross Gold if it manages to break out above some near-term resistance at $3.35 to $3.45 with high volume. Look for a sustained trend above those levels with volume that hits near or above its three-month average of 13.53 million shares. If that breakout fires off soon, then this stock will set up to make a run at its 50-day of $3.61 to its 20-day at $3.67, or even $3.94 to its 200-day at $4.14 a share.

Lion Biotechnologies

If you take a look at the chart for Lion Biotechnologies (LBIO) , you'll notice that this stock has been consolidating and trending sideways over the last three months, with shares moving between $6.60 on the downside and $8.30 on the upside. This stock has now started to trend higher above its 50-day at $7.25, and it's beginning to move within range of triggering a breakout trade.

Traders should now look for long-biased trades in Lion Biotechnologies if it manages to break out above resistance at $7.80 to $8.30 with high volume. Look for a sustained move above those levels with volume that hits near or above its three-month average of 203,580 shares. If that breakout materializes soon, then this stock will set up to make a run at is 52-week high of $9.58 a share.

Novavax

If you take a look at the chart for Novavax (NVAX) , you'll notice that this stock recently formed a double bottom chart pattern, after shares found some buying interest at $1.37 to $1.42 over the last month. Following that potential bottom, this stock has now started to trend higher and move back above both its 50-day at $1.39 and its 20-day at $1.46. That move is quickly pushing this stock within range of triggering a near-term breakout trade.

Traders should now look for long-biased trades in Novavax if it manages to break out above some near-term resistance levels at $1.50 to $1.55 with volumes that register near or above its three-month average of 6.69 million shares. If that breakout fires off soon, then this stock will set up to make a run at its next major resistance levels at $1.63 to $1.78, or even $2 a share.

Agenus

If you take a look at the chart for Agenus (AGEN) , you'll notice that this stock recently formed a double bottom chart pattern at $3.62 to $3.75 over the last month and change. Following that potential bottom, this stock has now started to spike higher off those support levels, and it's starting to flirt with both its 50-day at $4.07 and its 20-day at $4.14. This spike is starting to push shares of Agenus within range of triggering a big breakout trade.

Traders should now look for long-biased trades in Agenus if it manages to break out above some near-term resistance levels at $4.20 to $4.36 with volume that hits near or above its three-month average of 1.19 million shares. If that breakout triggers soon, then this stock will set up to make a run at its next major resistance levels at $4.62 to $4.78, or even its 200-day at $4.93 to $5.20 a share.

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

More from Stocks

Dow, Stocks Shrug Off Trade War Escalation, End Higher

Dow, Stocks Shrug Off Trade War Escalation, End Higher

Chart of the Day: How Tariff Talk Hurts FedEx Stock

Chart of the Day: How Tariff Talk Hurts FedEx Stock

Experts Are High on Cannabis Stocks' 2019 Prospects

Experts Are High on Cannabis Stocks' 2019 Prospects

Honeywell's Sweet Rally Should Continue

Honeywell's Sweet Rally Should Continue

Tesla Shares Tumble on DoJ Investigation of Elon Musk

Tesla Shares Tumble on DoJ Investigation of Elon Musk