DELAFIELD, Wis. (Stockpickr) -- There isn't a day that goes by on Wall Street when certain stocks trading for under $10 a share 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.

Just take a look at some of the big movers in the under-$10 complex from Wednesday, including Saratoga Resources (SARA) , which exploded higher by 61%; Swift Energy (SFY) - Get Report , which soared higher by 36%; Quicksilver Resources (KWK) , which surged higher by 32%; and Nuverra Environmental Solutions (NES) - Get Report , which soared to the upside by 31%. You don't even have to catch the entire move in lower-priced stocks such as these to make outsized returns when trading.

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.

Solazyme

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One under-$10 renewable energy player that's starting to trend within range of triggering a big breakout trade is Solazyme (SZYM) , which manufactures and sells renewable oils and other bioproducts. Its proprietary technology transforms a range of plant-based sugars into triglyceride oils and other bioproducts. This stock has been destroyed by the sellers in 2014, with shares down huge by 77%.

If you take a glance at the chart for Solazyme, you'll notice that this stock has been downtrending badly for the last six months, with shares falling sharply from over $10 a share to its new 52-week low of $2.15 a share. During that downtrend, shares of SZYM have been making mostly lower highs and lower lows, which is bearish technical price action. Shares of SZYM also recently gapped down sharply lower from around $8 to $2.89 with strong downside volume flows. That said, shares of SZYM have now started to carve out a bottoming chart pattern, since the stock has find support at $2.20 to $2.15 a share. Shares of SZYM are also now starting to rebound sharply off those support levels and it's quickly moving within range of triggering a big breakout trade.

Traders should now look for long-biased trades in SZYM if it manages to break out above Wednesday's intraday high of $2.49 a share to some more near-term overhead resistance at $2.70 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 2.06 million shares. If that breakout hits soon, then SZYM will set up to re-test or possibly take out its next major overhead resistance levels $3.60 to around $4 a share.

Traders can look to buy SZYM off weakness to anticipate that breakout and simply use a stop that sits right around its new 52-week low of $2.15 a share. One can also buy SZYM off strength once it starts to clear those those breakouts levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Scorpio Bulkers

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Another under-$10 shipping player that's starting to move within range of triggering a big breakout trade is Scorpio Bulkers (SALT) - Get Report , which is engaged in the marine transportation of dry bulk commodities. This stock has been hammered lower by the sellers in 2014, with shares down a gigantic 80%.

If you take a look at the chart for Scorpio Bulkers, you'll notice that this stock has been downtrending badly for the last six months, with shares moving sharply lower from over $9 a share to its new 52-week low of $1.76 a share. During that downtrend, shares of SALT have been consistently making lower highs and lower lows, which is bearish technical price action. That move has now pushed shares of SALT into extremely oversold territory, since its current relative strength reading is 14.99. Shares of SALT have now started to spike higher off its 52-week low with heavy upside volume and it's quickly moving within range of triggering a big breakout trade.

Market players should now look for long-biased trades in SALT if it manages to break out above some near-term overhead resistance at $2.09 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 action of 1.93 million shares. If that breakout triggers soon, then SALT will set up to re-test or possibly take out its next major overhead resistance levels at $2.50 to $3.11 a share, or even $3.50 a share.

Traders can look to buy SALT off weakness to anticipate that breakout and simply use a stop that sits right below its new 52-week low of $1.76 a share. One can also buy SALT off strength once it starts to clear that breakout level with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Westport Innovations

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One under-$10 alternative energy player that's starting to spike within range of triggering a major breakout trade is Westport Innovations (WPRT) - Get Report , which provides low-emission engine and fuel system technologies utilizing gaseous fuels. This stock has been hit hard by the bears in 2014, with shares down sharply by 81%.

If you take a glance at the chart for Westport Innovations you'll notice that this stock has been downtrending badly for the last six months, with shares plunging lower from over $17 a share to its new 52-week low of $3.40 a share. During that downtrend, shares of WPRT have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of WPRT have now attempted to carve out a bottom at $3.50 to $3.40 a share. This stock is starting to bounce off those support levels and it's quickly moving within range of triggering a major breakout trade above some key near-term overhead resistance levels.

Traders should now look for long-biased trades in WPRT if it manages to break out above some near-term overhead resistance levels at $4.02 to $4.33 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 1.29 million shares. If that breakout develops soon, then WPRT will set up to re-test or possibly take out its next major overhead resistance levels at its 50-day moving average of $5.34 to $6 a share, or even $6.30 a share.

Traders can look to buy WPRT off weakness to anticipate that breakout and simply use a stop that sits right below its new 52-week low of $3.40 a share. One can also buy WPRT off strength once it starts to trend above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

GrafTech International

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Another under-$10 stock that's quickly moving within range of triggering a big breakout trade is GrafTech International (GTI) , which manufactures and sells graphite and carbon material science-based solutions. This stock has been destroyed by the sellers in 2014, with shares off sharply by 61%.

If you look at the chart for GrafTech International, you'll see that this stock has been consolidating and trending sideways for the last two months, with shares moving between $3.86 on the downside and $5.01 on the upside. Shares of GTI recently formed a double bottom chart pattern at $3.88 to $3.86 a share. This stock has now started to bounce higher off those support levels and it's starting to trend back above its 50-day moving average of $4.31 a share. That move is now quickly pushing shares of GTI within range of triggering a big breakout trade above a key downtrend line.

Market players should now look for long-biased trades in GTI if it manages to break out above some key near-term overhead resistance levels at $4.53 to $4.74 a share and then above more resistance at $5.01 a share 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 2.20 million shares. If that breakout develops soon, then GTI will set up to re-test or possibly take out its next major overhead resistance level at $6.50 a share.

Traders can look to buy GTI off weakness to anticipate that breakout and simply use a stop that sits right around some key near-term support at $3.86 a share. One can also buy GTI 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.

Diana Shipping

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One final under-$10 stock that's starting to move within range of triggering a near-term breakout trade is Diana Shipping (DSX) - Get Report , which provides shipping transportation services. This stock has been smacked sharply lower in 2014, with shares off large by 51%.

If you take a glance at the chart for Diana Shipping, you'll see that this stock has been downtrending badly for the last five months, with shares falling sharply lower from its high of $11.04 to its new 52-week low of $6.28 a share. During that downtrend, shares of DSX have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of DSX have now started to bounce modestly higher off its $6.28 low with heavy upside volume flows. Volume on Wednesday registered over 1.66 million shares, which is well above its three-month average action of 837,906 shares. That bounce is quickly pushing shares of DSX within range of triggering a near-term breakout trade.

Traders should now look for long-biased trades in DSX if it manages to break out above some near-term overhead resistance levels at $6.60 to $6.87 a share and then above more resistance at $7.18 to $7.25 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 837,906 shares. If that breakout gets started soon, then DSX will set up re-test or possibly take out its next major overhead resistance levels at is 50-day moving average of $7.80 to $8.70 a share, or even $9.18 a share.

Traders can look to buy DSX off weakness to anticipate that breakout and simply use a stop that sits right below its new 52-week low of $6.28 a share or near some major past support at $5.89 a share. One can also buy DSX 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.

-- 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.

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.