Santarus

One under-$10 name in the biotechnology and drugs complex that's close to triggering a major breakout trade is Santarus ( SNTS). This company is focused on acquiring, developing and commercializing proprietary products that address the needs of patients treated by gastroenterologists and other targeted physicians. This stock has been on fire so far in 2012, with shares up a whopping 188%.

If you take a look at the chart for Santarus, you'll notice that this stock has been uptrending extremely strong for the last two months, with shares skyrocketing from a low of $5.70 to its recent high of $9.78 a share. During that uptrend, shares of SNTS have been making mostly higher lows and higher highs, which is bullish technical price action. Also during that move, the upside volume patterns for SNTS have been very bullish. That recent action has how pushed SNTS within range of triggering a major breakout trade.

Traders should now look for long-biased trades in SNTS once it manages to break out above some near-term overhead resistance levels at $9.40 to $9.78 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 673,419 shares. If that breakout triggers soon, then SNTS will set up to trend significantly north of $10 a share. Some possible targets are $13 to $15 a share in the near future.

Traders can look to buy SNTS off weakness as long as it's trending above its 50-day moving average at $8.64 a share with strong upside volume flows. One could also buy SNTS off strength once it takes out those breakout levels with high volume and then simply use a stop just below $9 a share.

Zogenix

Another under-$10 name that's trading very close to triggering a near-term breakout trade is Zogenix ( ZGNX). This is a pharmaceutical company, engaged in the commercializing and developing products for the treatment of central nervous system disorders and pain. This stock has been trending to the upside during the last six months, with shares up 35%.

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