DELAFIELD, Wis. (Stockpickr) -- At Stockpickr, we track daily portfolios of stocks that are the biggest percentage gainers and the biggest percentage losers.
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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.
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With that in mind, let's take a closer look at a several stocks under $10 that are making large moves to the upside.
pSivida
pSivida (PSDV) develops products to deliver drugs and biologics primarily in the U.S. and the U.K. This stock closed up 8.3% to $4.96 in Tuesday's trading session.
Tuesday's Range: $4.52-$4.96
52-Week Range: $1.35-$5.60
Tuesday's Volume: 227,000
Three-Month Average Volume: 291.389
From a technical perspective, PSDV ripped sharply higher here right off some near-term support at $4.46 with decent upside volume. This move is quickly pushing shares of PSDV within range of triggering a major breakout trade. That trade will hit if PSDV manages to take out some near-term overhead resistance levels at $5.14 to $5.45 and then once it clears its 52-week high at $5.60 with high volume.
Traders should now look for long-biased trades in PSDV as long as it's trending above some near-term support at $4.46 or above $4 and then once it sustains a move or close above those breakout levels with volume that hits near or above 291,389 shares. If that breakout hits soon, then PSDV will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $6.50 to $7.
China Zenix Auto International
China Zenix Auto International (ZX), an investment holding company, engages in the research, development, production, and sale of commercial vehicle wheels to aftermarket and original equipment manufacturers. This stock closed up 8.6% to $3.01 in Tuesday's trading session.
Tuesday's Range: $2.78-$3.01
52-Week Range: $2.11-$4.27
Tuesday's Volume: 62,000
Three-Month Average Volume: 72,953
From a technical perspective, shares of ZX ripped sharply higher here right above its 50-day moving average of $2.66 and back above its 200-day moving average of $2.98 with decent upside volume. This stock has been uptrending strong for the last two months, with shares moving higher from its low of $2.11 to its recent high of $3.15. During that uptrend, shares of ZX have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of ZX within range of triggering a major breakout trade. That trade will hit if ZX manages to take out Tuesday's high of $3.01 to some more near-term overhead resistance at $3.15 with high volume.
Traders should now look for long-biased trades in ZX as long as it's trending above its 50-day at $2.66 or above $2.60 and then once it sustains a move or close above those breakout levels with volume that hits near or above 72,953 shares. If that breakout triggers soon, then ZX will set up to re-test or possibly take out its next major overhead resistance levels at $4 to its 52-week high at $4.27.
YuMe
YuMe (YUME) provides digital video brand advertising solutions. This stock closed up 8% to $7.95 in Tuesday's trading session.
Tuesday's Range: $7.27-$8.09
52-Week Range: $5.86-$12.08
Tuesday's Volume: 86,000
Three-Month Average Volume: 177,215
From a technical perspective, YUME spiked sharply higher here right above some near-term support at $7.15 and back above its 50-day moving average of $7.89 with lighter-than-average volume. This stock recently put in a major bottoming chart pattern, since shares of YUME have found buying interest over the last two months each time it has pulled back to near $7 a share. Shares of YUME are now starting to spike higher off those support levels and the stock is quickly moving within range of triggering a big breakout trade. That trade will hit if YUME manages to take out Tuesday's high of $8.09 to some more near-term overhead resistance at $8.80 with high volume.
Traders should now look for long-biased trades in YUME as long as it's trending above Tuesday's low of $7.27 or above $7 and then once it sustains a move or close above those breakout levels with volume that hits near or above 177,215 shares. If that breakout hits soon, then YUME will set up to re-test or possibly take out its next major overhead resistance levels at $9.37 to $10.15.
To see more stocks that are making notable moves higher, check out the Stocks Under $10 Moving Higher portfolio on Stockpickr.
-- Written by Roberto Pedone in Delafield, Wis.
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At the time of publication, author had no positions in stocks mentioned.
Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including
CNBC.com and Forbes.com.You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.
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