Another under-$10 stock that looks ready to trigger a major breakout trade is Life Partners ( LPHI), which is a specialty financial services company and the parent company of Life Partners. This stock is off to a hot start so far in 2013, with shares up sharply by 15.9%. If you take a look at the chart for Life Partners, you'll notice that this stock has been trending in a consolidation pattern for the last two months, with shares moving between $2.60 on the downside and $3.16 on the upside. This tight consolidation pattern has formed a massive base for shares of LPHI, and the stock is just now starting to move within range of triggering a major breakout trade above the upper-end of its recent range. >>5 Stocks Hedge Funds Love -- and So Should You Market players should now look for long-biased trades in LPHI if it manages to break out above some near-term overhead resistance levels at $2.90 to $3.16 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 82,610 shares. If that breakout hits soon, then LPHI will set up to re-test or possibly take out its next major overhead resistance levels at $3.98 to $4.35 a share. Any high-volume move above $4.35 would then put $5.50 to $6 into range for shares of LPHI. Traders can look to buy LPHI off any weakness to anticipate that breakout and then simply use a stop that sits close to some near-term support at $2.67 to $2.60 a share. One can also buy off strength once LPHI takes out those breakout levels with volume and then simply use a stop that sits right below its 50-day moving average at $2.68 a share. This stock sports a decent short interest as a percentage of its float at 8.7%. Make sure to put this name on your breakout trading radar since we could get a decent short-squeeze if it triggers soon.