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If you're looking at low-priced stocks, one thing to watch out for are potential "value traps," or stocks that have low prices because of recently bad market sentiment. To avoid these names, one idea is to look at what short sellers are doing.

We ran a screen on the tech sector for stocks priced below $5 a share for those with significant decreases in shares shorted (or short covering) month-over-month, indicating short sellers are less bearish on these names.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.‬

We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here.

Do you think these are value traps, or just low-priced stocks? Use this list as a starting point for your own analysis.

1. Alaska Communications Systems Group Inc. (ALSK): Provides integrated communications services in the State of Alaska. Price at $3.05. Shares shorted have decreased from 8.11M to 7.00M over the last month, a decrease which represents about 2.5% of the company's float of 44.44M shares.

2. A123 Systems, Inc. (AONE): Engages in the design, development, manufacture, and sale of rechargeable lithium-ion batteries and battery systems primarily in the United States. Price at $2.19. Shares shorted have decreased from 21.37M to 20.00M over the last month, a decrease which represents about 1.78% of the company's float of 76.98M shares.

3. Clearwire Corporation (CLWR): Provides wireless broadband services. Price at $2.11. Shares shorted have decreased from 37.41M to 31.64M over the last month, a decrease which represents about 1.73% of the company's float of 333.14M shares.

4. Canadian Solar Inc. (CSIQ): Engages in the design, development, manufacture, and sale of solar power products in Canada and internationally. Price at $4.51. Shares shorted have decreased from 4.22M to 3.87M over the last month, a decrease which represents about 1.17% of the company's float of 29.86M shares.

5. DragonWave Inc. (DRWI): Provides wireless Ethernet equipment for emerging Internet protocol networks worldwide. Price at $4.65. Shares shorted have decreased from 2.35M to 1.32M over the last month, a decrease which represents about 3.06% of the company's float of 33.69M shares.

6. Fairpoint Communications, Inc. (FRP): Provides communication services to residential and business customers in rural and small urban communities primarily in northern New England. Price at $4.40. Shares shorted have decreased from 3.25M to 2.16M over the last month, a decrease which represents about 8.57% of the company's float of 12.72M shares.

7. Glu Mobile, Inc. (GLUU): Engages in the design, marketing, and sale of casual and traditional mobile games worldwide. Price at $3.84. Shares shorted have decreased from 7.60M to 6.68M over the last month, a decrease which represents about 2.05% of the company's float of 44.88M shares.

8. Meru Networks, Inc. (MERU): Engages in the development and marketing of a virtualized wireless LAN solution. Price at $4.39. Shares shorted have decreased from 2.74M to 2.19M over the last month, a decrease which represents about 6.88% of the company's float of 8.00M shares.

9. Sky-mobi Limited (MOBI): Engages in the operation of a mobile application store in the People's Republic of China. Price at $4.53. Shares shorted have decreased from 578.92K to 404.39K over the last month, a decrease which represents about 2.41% of the company's float of 7.25M shares.

*Short data sourced from Yahoo! Finance, all other data sourced from Finviz.

Source: 9 Tech Stocks Under $5 With Significant Short Covering