DELAFIELD, Wis. (Stockpickr) -- At Stockpickr, we track daily portfolios of stocks that are the biggest percentage gainers and the biggest percentage losers.
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.
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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.
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Big 5 Sporting Goods
Big 5 Sporting Goods (BGFV) operates as a sporting goods retailer in the western U.S. This stock closed up 1.9% to $9.91 in Thursday's trading session.
Thursday's Range: $9.44-$10.12
52-Week Range: $9.44-$20.70
Thursday's Volume: 580,000
Three-Month Average Volume: 278,806
From a technical perspective, BGFV bounced modestly higher here right off its 52-week low of $9.45 with above-average volume. This stock has been downtrending for the last month, with shares moving lower from its high of $13.13 to its new 52-week low of $9.44.During that move, shares of BGFV have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of BGFV have now started to rebound off that low and off oversold territory, since its current relative strength index reading is 23.65. Oversold can always get more oversold, but it's also an area where a stock can make a sharp rebound higher from.
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Traders should now look for long-biased trades in BGFV as long as it's trending above its 52-week low of $9.45 and then once it sustains a move or close above Thursday's intraday high of $10.12 with volume that hits near or above 278,806 shares. If that move starts soon, then BGFV will set up to re-test or possibly take out its recent gap-down-day high of $10.72. Any high-volume move above that level will then give BGFV a chance re-fill that gap back towards where it started near $11.50.
Ikanos Communications
Ikanos Communications (IKAN) designs, develops, markets and sells semiconductors and integrated firmware products for the digital home worldwide. This stock closed up 7.6% to 44 cents per share in Thursday's trading session.
Thursday's Range: $0.38-$0.44
52-Week Range: $0.38-$1.45
Thursday's Volume: 473,000
Three-Month Average Volume: 267,298
From a technical perspective, IKAN ripped sharply higher here right off some near-term support at around 40 cents per share with above-average volume. This move briefly pushed shares of IKAN back above its 50-day moving average of 44 cents per share, before it closed right on that level. Shares of IKAN are now quickly moving within range of triggering a near-term breakout trade. That trade will hit if IKAN manages to take out some key near-term overhead resistance levels at 46 to 48 cents per share with high volume.
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Traders should now look for long-biased trades in IKAN as long as it's trending above Thursday's intraday low of 38 cents per share and then once it sustains a move or close above those breakout levels with volume that hits near or above 267,298 shares. If that breakout hits soon, then IKAN will set up to re-test or possibly take out its next major overhead resistance levels at 50 to 54 cents per share, or even 60 to 65 cents per share.
Emulex
Emulex (ELX) provides network connectivity, monitoring and management products for networks that support enterprise, cloud, government and telecommunications worldwide. This stock closed up 3.3% to $5.88 a share in Thursday's trading session.
Thursday's Range: $5.61-$5.88
52-Week Range: $4.51-$8.34
Thursday's Volume: 1.31 million
Three-Month Average Volume: 1.70 million
From a technical perspective, ELX bounced notably higher here right above its 50-day moving average of $5.46 and into breakout territory above some near-term overhead resistance at $5.77 with decent upside volume. This move is quickly pushing shares of ELX within range of triggering a major breakout trade. That trade will hit if ELX manages to take out Thursday's intraday high of $5.88 to some more near-term overhead resistance at $6.09 with high volume.
Traders should now look for long-biased trades in ELX as long as it's trending above its 50-day moving average of $5.46 and then once it sustains a move or close above those breakout levels with volume that hits near or above 1.70 million shares. If that breakout hits soon, then ELX will set up to re-fill some of its previous gap-down-day zone from April that started near $7.25.
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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