Delafield, Wis. (Stockpickr) -- There isn't a day that goes by on Wall Street when certain stocks trading for $10 a share or less don't experience massive spikes higher. Traders savvy enough to follow the low-priced names and trade them with discipline and sound risk management are banking ridiculous coin on a regular basis.

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Just take a look at some of the big movers in the under-$10 complex from Thursday, including Pixelworks (PXLW), which is exploding higher by over 45%; Energy Recovery (ERII), which is soaring higher by 36%; InfoSonics (IFON), which is ripping to the upside by 28%; and China New Borun (BORN), which is jumping to the upside by 23%. 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 exploded higher was China-based drug retailer China Jo-Jo Drugstores (CJJD), which I highlighted in Jan. 10's "5 Stocks Under $10 Set to Soar" at around $1.13 per share. I mentioned in that piece that shares of China Jo-Jo Drugstores had been uptrending strong recently, with shares moving higher from its low of 65 cents per share to its high of $1.18 a share. That uptrend was quickly pushing shares of CJJD within range of triggering a big breakout trade above some key overhead resistance levels at $1.18 to $1.32 a share.

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Guess what happened? Shares of China Jo-Jo Drugstores didn't wait long to trigger that breakout, since the stock exploded to the upside that same trading session with monster upside volume. Shares of CJJD tagged an intraday day high of $1.90 a share on January 10, but this stock was far from done going higher. After a quick pullback to $1.25, shares of CJJD once again resumed its uptrend and the stock tagged an intraday high on Wednesday of $2.84 a share. That represents a monster gain of well over 100% in right around two months for anyone who rode the trend higher in CJJD.

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.

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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.

Andatee China Marine Fuel Services


One under-$10 energy player that's quickly trending within range of triggering a big breakout trade is Andatee China Marine Fuel Services (AMCF), which engages in the production, storage, distribution and trading of blended marine fuel oil for cargo and fishing vessels in the People's Republic of China. This stock has been on fire over the last six months, with shares up sharply by 138%.

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If you take a glance at the chart for Andatee China Marine Fuel Services, you'll see that this stock has been trending sideways for the last two months, with shares moving between $1.50 on the downside and $2.20 on the upside. Shares of AMCF have been hugging its 50-day moving average over the last month as the stock has trended higher from $1.50 to $1.98 a share. Shares of AMCF are spiking higher today right off its 50-day with strong upside volume. Volume so far today has already eclipsed 224,000 shares, which is well above its three-month average action of 178,022 shares. That spike is quickly pushing shares of AMCF within range of triggering a big breakout trade.

Traders should now look for long-biased trades in AMCF if it manages to break out above some near-term overhead resistance levels at $1.85 to $1.98 a share and then once it clears more resistance at $2.20 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 178,022 shares. If that breakout materializes soon, then AMCF will set up to re-test or possibly take out its next major overhead resistance level at its 52-week high of $2.75 a share. Any high-volume move above that level will then give AMCF a chance to tag $3 to $3.50 a share, or even $4 a share.

Traders can look to buy AMCF off any weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at $1.60 or at $1.50 a share. One can also buy AMCF 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.

GigOptix


Another under-$10 semiconductor player that's quickly moving within range of triggering a big breakout trade is GigOptix (GIG), which operates as a fabless supplier of semiconductor components that enable information streaming over network infrastructures. This stock is off to a strong start in 2014, with shares up notably by 19%.

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If you take a look at the chart for GigOptix, you'll notice that this stock been trending range bound for the last three months, with shares moving between $1.43 on the downside and $1.98 on the upside. Shares of GIG are spiking higher today and breaking out above some near-term overhead resistance at $1.77 a share. This move is coming on heavy volume, since over 594,000 shares have traded versus its three-month average action of 337,163 shares. This spike is quickly pushing shares of GIG within range of triggering an even bigger breakout trade.

Market players should now look for long-biased trades in GIG if it manages to break out above some near-term overhead resistance levels at $1.85 a share to its 52-week high at $1.98 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 337,163 shares. If that breakout gets underway soon, then GIG will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are its next major overhead resistance levels at $2.17 to $2.60 a share, or even $2.80 to $3 a share.

Traders can look to buy GIG off any weakness to anticipate that breakout and simply use a stop that sits right around its 50-day moving average of $1.61 a share. One can also buy GIG 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.

CombiMatrix


One under-$10 molecular diagnostics player that's quickly moving within range of triggering a big breakout trade is CombiMatrix (CBMX), which operates a diagnostics reference laboratory that provides DNA-based clinical diagnostic testing services to physicians, hospitals, clinics and other laboratories in the areas of prenatal and postnatal development disorders, and hematology/oncology genomics. This stock is off to a strong start in 2014, with shares up sharply by 30%.

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If you consult the chart for CombiMatrix, you'll see that this stock is spiking higher today right above its 50-day moving average of $2.79 a share and back above its 200-day moving average of $2.87 a share with strong upside volume flows. This spike is quickly pushing shares of CBMX within range of triggering a big breakout trade above a key downtrend line that dates back to last December.

Traders should now look for long-biased trades in CBMX if it manages to break out above some near-term overhead resistance at $3.23 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average volume of 839,567 shares. If that breakout hits soon, then CBMX will set up to re-test or possibly take out its next major overhead resistance level at $3.70 a share. Any high-volume move above that level will then give CBMX a chance to make a run at its 52-week high of $4.62 a share.

Traders can look to buy CBMX off weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support at $2.60 a share. One can also buy CBMX off strength once it starts to bust above resistance at $3.23 a share with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Mast Therapeutics


Another under-$10 biotechnology player that's starting to push within range of triggering a major breakout trade is Mast Therapeutics (MSTX), which focuses on developing therapies for serious or life-threatening diseases. This stock is off to a monster start in 2014, with shares up a whopping 84%.

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If you take a glance at the chart for Mast Therapeutics, you'll notice that this stock has been uptrending over the last few weeks, with shares moving higher from its low of 70 cents per share to its recent high of 88 cents per share. During that uptrend, shares of MSTX have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of MSTX within range of triggering a major breakout trade above some key near-term overhead resistance levels.

Market players should now look for long-biased trades in MSTX if it manages to break out above some key near-term overhead resistance levels at 88 to 92 cents per 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 3.95 million shares. If that breakout starts soon, then MSTX will set up to re-test or possibly take out its 52-week high at $1.10 a share. Any high-volume move above that level will then give MSTX a chance to tag its next major overhead resistance levels at $1.16 to $1.40 a share.

Traders can look to buy MSTX off weakness to anticipate that breakout and simply use a stop that sits right below its 50-day moving average of 75 cents per share. One can also buy MSTX off strength once it starts blast above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Nova Lifestyle


One final under-$10 consumer goods player that's starting to trend within range of triggering a big breakout trade is Nova Lifestyle (NVFY), which engages in the design, manufacture, marketing and sale of residential furniture for middle and upper middle-income consumers worldwide. This stock has been on fire so far in 2014, with shares up sharply by 73%.

If you take a look at the chart for Nova Lifestyle, you'll see that this stock has been uptrending strong over the last month and change, with shares moving higher from its low of $5.82 to its recent high of $7.90 a share. During that uptrend, shares of NVFY have been consistently making higher lows and higher highs, which is bullish technical price action. Shares of NVFY are spiking sharply higher today and this stock is quickly moving 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 NVFY if it manages to break out above some near-term overhead resistance levels at $7.72 to $7.90 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 76,327 shares. If that breakout materializes soon, then NVFY will set up re-test or possibly take out its next major overhead resistance level at $10.35 a share.

Traders can look to buy NVFY off weakness to anticipate that breakout and simply use a stop that sits just below some key near-term support levels at $7 to $6.50 a share. One can also buy NVFY 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.

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