AMSC CYTX HPJ SGOC BBRY RMBS
Delafield, Wis. (Stockpickr) -- Want to make big money fast? Then pay attention to the little guys. Trading stocks under $10 can really pay off -- if you know what you're doing.

Just take a look at some of the big movers in the under-$10 complex from Thursday, including Microvision (MVIS), which is exploding higher by over 70%; Biolase (BIOL), which is soaring higher by 15%; Sky-mobi (MOBI), which is ripping to the upside by 14%; and Lightbridge (LTBR), which is trending up by 13%. You don't even have to catch the entire move in lower-priced stocks such as these to make outsized returns when trading.

One low-priced stock that recently trended sharply higher was technology player American Superconductor (AMSC), which I highlighted in Feb. 13's "5 Stocks Under $10 Set to Soar" at around $1.70 per share. I mentioned in that piece that shares of American Superconductor had recently formed a double bottom chart pattern at $1.37 to $1.43 a share. Following that bottom, shares of AMSC were starting to spike higher back above its 50-day moving average and it was quickly moving within range of triggering a near-term breakout trade above $1.72 to $1.83 a share.

Guess what happened? Shares of American Superconductor didn't wait long to trigger that breakout, since the stock exploded higher on Feb. 18 with strong upside volume flows. Shares of AMSC tagged an intraday high on Wednesday of $2.25 a share in another trading session of strong upside volume. That represents a large gain of 30% for anyone who bought this stock around $1.70 a share in anticipation of that breakout. As you can see, trading low-priced stocks that technically trigger off high-probability setups can lead to big profits and fast.

Low-priced stocks are something that I tweet about on a regular basis. I frequently flag high-probability setups, breakout candidates and low-priced stocks that are acting technically bullish. I like to hunt for low-priced stocks that are showing bullish price and volume trends, since that increases the probability of those stocks heading higher. These setups often produce monster moves higher in very short time frames.

When I trade under-$10 names, I do it almost entirely based off of the charts and technical analysis. I also like to find under-$10 names with a catalyst, but that's secondary to the chart and volume patterns.

With that in mind, here's a look at several under-$10 stocks that look poised to potentially trade higher from current levels.

Cytori Therapeutics


One under-$10 cell therapy player that's quickly moving within range of triggering a major breakout trade is Cytori Therapeutics (CYTX), which engages in developing cell therapies based on autologous adipose-derived regenerative cells to treat cardiovascular diseases and other medical conditions. This stock has been red hot over the last six months, with shares moving higher by 34%.

If you take a glance at the chart for Cytori Therapeutics, you'll see that this stock has been uptrending over the last two months, with shares moving higher from its low of $2.20 to its recent high of $3.18 a share. During that move, shares of CYTX have been making mostly higher lows and higher highs, which is bullish technical price action. Shares of CYTX have recently crossed back above both its 200-day and 500-day moving average and it's now quickly moving within range of triggering a major breakout trade.

Traders should now look for long-biased trades in CYTX if it manages to break out above some near-term overhead resistance levels at $3.11 to $3.18 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average action of 511,713 shares. If that breakout hits soon, then CYTX will set up to re-test or possibly take out its next major overhead resistance level at its 52-week high of $3.93 a share. Any high-volume move above that level will then give CYTX a chance to tag its next major overhead resistance levels at $4.25 to $4.50 a share, or even $5 a share.

Traders can look to buy CYTX off any weakness to anticipate that breakout and simply use a stop that sits right below either its 50-day at $2.69 a share or its 200-day at $2.50 a share. One can also buy CYTX off strength once it starts to clear those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Highpower International


Another under-$10 industrial electrical equipment player that's starting to trend within range of triggering a big breakout trade is Highpower International (HPJ), which develops, manufactures and markets rechargeable nickel metal hydride and lithium-ion batteries primarily for use in portable electronic devices. This stock has been on fire over the last six months, with shares up a whopping 139%.

If you take a look at the chart for Highpower International, you'll notice that this stock has been trending sideways and consolidating for the last four months, with shares moving between $2.02 on the downside and $3.45 on the upside. That sideways chart pattern has started to tighten up for shares of HPJ and now the stock is quickly moving within range of triggering a big breakout trade above a key downtrend line.

Market players should now look for long-biased trades in HPJ if it manages to break out above some near-term overhead resistance levels at $2.88 to $2.89 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 81,472 shares. If that breakout hits soon, then HPJ will set up to re-test or possibly take out its next major overhead resistance levels at $3.25 to its 52-week high at $3.45 a share. Any high-volume move above those levels will then give HPJ a chance to tag $4 to $4.50 a share.

Traders can look to buy HPJ off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at $2.60 or at $2.37 a share. One can also buy HPJ off strength once it starts to take out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

SGOCO Group


One under-$10 electronic equipment player that's quickly moving within range of triggering a big breakout trade is SGOCO Group (SGOC), which engages in designing and developing LCD/LED monitors, TVs and other application-specific products for sale primarily to the flat-panel display market in China. This stock has been on fire over the last six months, with shares up sharply by 40%.

If you take a look at the chart for SGOCO Group, you'll see that this stock recently formed a double bottom chart pattern at $2.95 to $2.98 a share. Following that bottom, shares of SGOC have started to spike sharply higher and move back above its 50-day moving average. That move is quickly pushing shares of SGOC within range of triggering a big breakout trade above some key near-term overhead resistance levels.

Traders should now look for long-biased trades in SGOC if it manages to break out above some near-term overhead resistance levels at $4.18 to $4.20 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average volume of 353,011 shares. If that breakout hits soon, then SGOC will set up to re-test or possibly take out its next major overhead resistance level just above $5.50 a share. If that level gets taken out with volume, then SGOC will have will have a chance to re-fill some of its previous gap-down-day zone from last November that started at $8.33 a share.

Traders can look to buy SGOC off weakness to anticipate that breakout and simply use a stop that sits right below its 50-day moving average at $3.39 a share. One can also buy SGOC off strength once it starts to take out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

BlackBerry


Another under-$10 stock hat's starting to push within range of triggering a near-term breakout trade is BlackBerry (BBRY), which designs, manufactures and markets wireless solutions worldwide This stock is off to a strong start in 2014, with shares up sharply by 27%.

If you take a glance at the chart for BlackBerry, you'll notice that this stock recently formed a double bottom chart pattern at $8.92 to $8.99 a share. That double bottomed formed right above BBRY's 50-day moving average at $8.41 a share. Shares of BBRY are now starting to push within range of triggering a near-term breakout trade above a key downtrend line that dates back to January.

Market players should now look for long-biased trades in BBRY if it manages to break out above its 200-day moving average of $9.66 a share and then once it takes out more near-term overhead resistance levels at $10.10 to $10.28 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 25.62 million shares. If that breakout triggers soon, then BBRY will set up to re-test or possibly take out its next major overhead resistance levels at $11.65 to $12.18 a share. Any high-volume move above $12.18 will then give BBRY a chance to re-fill some of its massive gap-down-day zone from last June that started at $15 a share.

Traders can look to buy BBRY off weakness to anticipate that breakout and simply use a stop that sits just below those double bottom support zones at $8.99 to $8.92 a share or right around its 50-day moving average of $8.41 a share. One can also buy BBRY off strength once it starts to take out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Rambus


One final under-$10 technology player that's starting to trend within range of triggering a near-term breakout trade is Rambus (RMBS), which invents, develops, offers and licenses technology solutions. This stock hasn't done too much over the last six months, with shares up just 8%.

If you take a look at the chart for Rambus, you'll see that this stock has been uptrending over the last two months, with shares moving higher from its low of $8.38 to its recent high of $9.73 a share. During that uptrend, shares of RMBS have been making mostly higher lows and higher highs, which is bullish technical price action. Shares of RMBS are now starting to spike higher right off its 50-day moving average of $9.12 a share. That move is beginning to push RMBS within range of triggering a near-term breakout trade.

Traders should now look for long-biased trades in RMBS if it manages to break out above some near-term overhead resistance levels at $9.73 to $9.81 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 1.18 million shares. If that breakout hits soon, then RMBS will set up re-test or possibly take out its next major overhead resistance levels at $10.57 to its 52-week high at $10.85 a share. Any high-volume move above those levels will then give RMBS a chance to re-fill some of its previous gap-down-day zone from late 2011 that started at $18.55 a share.

Traders can look to buy RMBS off weakness to anticipate that breakout and simply use a stop that sits just below its 200-day moving average of $8.88 a share or around more support at $8.40 a share. One can also buy RMBS off strength once it starts to clear those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

To see more hot under-$10 equities, check out the Stocks Under $10 Setting Up to Explode portfolio on Stockpickr.

Follow Stockpickr on Twitter and become a fan on Facebook.

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.