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 today.
Zalicus
Zalicus (ZLCS) is a biopharmaceutical company that discovers and develops treatments for patients suffering from pain and immuno-inflammatory diseases. This stock closed up 29% to $1.15 in Tuesday's trading session.
Tuesday's Range: $0.89-$1.19
52-Week Range: $0.88-$8.28
Tuesday's Volume: 6.68 million
Three-Month Average Volume: 1.44 million
From a technical perspective, ZLCS skyrocketed higher here right off its 52-week low of 88 cents per share with monster upside volume. This stock recently gapped down sharply from $4.83 to $1.09 with heavy downside volume. Shares of ZLCS are now starting to rebound off oversold levels, since its current relative strength index reading is 29. This oversold bounce is quickly pushing shares of ZLCS within range of triggering a big breakout trade. That trade will hit if ZLCS manages to take out some near-term overhead resistance levels at $1.24 to its gap down day high of $1.45 with high volume.
Traders should now look for long-biased trades in ZLCS as long as it's trending above $1 and then once it sustains a move or close above those breakout levels with volume that hits near or above 1.44 million shares. If that breakout hits soon, then ZLCS will set up to re-fill some of its previous gap down zone that started at $4.83.
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Discovery Laboratories
Discovery Laboratories (DSCO) is a biotechnology company focused on creating life-saving products for critical care patients with respiratory disease. This stock closed up 9.5% to $2.40 in Tuesday's trading session.
Tuesday's Range: $2.19-$2.41
52-Week Range: $1.50-$3.05
Tuesday's Volume: 1.86 million
Three-Month Average Volume: 974,206
From a technical perspective, DSCO spiked sharply higher here right off its 50-day moving average of $2.18 with strong upside volume. This move pushed shares of DSCO into breakout territory, since the stock took out some near-term overhead resistance at $2.31. Market players should now look for a continuation move higher in the short-term if DSCO manages to take out Tuesday's high of $2.41 with volume.
Traders should now look for long-biased trades in DSCO as long as it's trending above its 50-day at $2.18 and then once it sustains a move or close above $2.41 with volume that hits near or above 974,206 shares. If we get that move soon, then DSCO will set up to re-test or possibly take out its next major overhead resistance levels at $2.64 to its 52-week high at $3.05. Any high-volume above $3.05 will then give DSCO a chance to tag its next major overhead resistance level at $3.51.
Zogenix
Zogenix (ZGNX) is a pharmaceutical company commercializing and developing products for the treatment of central nervous system disorders and pain. This stock closed up 7.2% to $3.10 in Tuesday's trading session.
Tuesday's Range: $2.89-$3.12
52-Week Range: $1.11-$3.45
Tuesday's Volume: 4.13 million
Three-Month Average Volume: 1.75 million
From a technical perspective, ZGNX ripped sharply higher here and broke out above some near-term overhead resistance at $3.05 with monster upside volume. This stock has been uptrending strong for the last three months, with shares moving higher from its low of $1.53 to its intraday high of $3.12. During that uptrend, shares of ZGNX have been making mostly higher lows and higher highs, which is bullish technical price action.
Traders should now look for long-biased trades in ZGNX as long as it's trending above $2.70 and then once it sustains a move or close above Tuesday's high of $3.12 with volume that hits near or above 1.75 million shares. If we get that move soon, then ZGNX will set up to re-test or possibly take out its 52-week high at $3.45 or its next major resistance level at $4.
Synacor
Synacor (SYNC) is a provider of solutions for delivery of online content and services. This stock closed up 2.6% to $2.6 in Tuesday's trading session.
Tuesday's Range: $2.61-$2.81
52-Week Range: $2.25-$6.51
Tuesday's Volume: 379,000
Three-Month Average Volume: 144,060
From a technical perspective, SYNC spiked modestly higher here right above its 50-day moving average of $2.53 with above-average volume. This move briefly pushed shares of SYNC into breakout territory, since the stock flirted with some near-term overhead resistance levels at $2.74 to $2.78. Shares of SYNC closed right around those levels at $2.74. This move now has SYNC trending within range of triggering an even bigger breakout trade. That trade will hit if SYNC manages to take out some past overhead resistance levels at $2.85 to its 200-day moving average at $3.02 with high volume.
Traders should now look for long-biased trades in SYNC as long as it's trending above its 50-day at $2.53 or above more near-term support at $2.44 and then once it sustains a move or close above those breakout levels with volume that hits near or above 144,060 shares. If that breakout hits soon, then SYNC will set up to re-fill some of its previous gap down zone from August that started at $3.40.
To see more stocks that are making notable moves higher today, 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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