By: Marc Sperling
With the Russell 2000 making highs both yesterday and today, we are starting to see some impressive action in small cap stocks. There are certain cyclical times of year where small caps take a leadership role and this is such a time. One stock in particular that I like watching is A123 Systems (AONE). The stock is building a base right now between the $15.50 and $18 levels. On a break above $18, I will look to get long with a target price of $20. That is an 11% move waiting to happen that patient traders can potentially capitalize on. It does not look quite ready just yet, but keep watching it on smaller time frames and be ready for when it does in fact breakout.
