Another under-$10 name that's starting to trend into range of triggering a near-term breakout trade is Xoma ( XOMA), which is engaged in the discovery, development and manufacture of therapeutic antibodies and other agents designed to treat inflammatory, autoimmune, infectious and oncological diseases. This stock hasn't done much so far in 2013, with shares trading virtually flat. If you take a look at the chart for XOMA, you'll notice that this stock has been trading in a tight consolidation pattern for the last two months, with shares moving between $2.37 on the downside and $3 a share on the upside. Shares of XOMA are just starting to push back above its 50-day moving average of $2.68 a share, and it's quickly moving within range of breaking out above a key downtrend line. Market players should now look for long-biased trades in XOMA if it manages to break out above some near-term overhead resistance levels at $2.83 to $3 a share and then once it takes out more resistance at $3.10 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 549,387 shares. If that breakout triggers soon, then XOMA will set up to re-test or possibly take out its next major overhead resistance levels at $3.44 to $4 a share. Traders can look to buy XOMA off any weakness to anticipate that breakout and simply use a stop that sits right around some near-term support levels at $2.46 to $2.37 a share. One could also buy XOMA off strength once it takes out those breakout levels with volume and then simply use a stop that sits just below its 50-day moving average of $2.68 a share. I would add to either position once this stock clears $3 to $3.10 with strong volume.