One under-$10 name that's just starting to trigger a major breakout trade today is Cimatron ( CIMT), which develops and distributes CAD/CAM software for the manufacturing industry. The company offers solutions for mold and die makers, as well as Axis production milling and turning. This stock is off to a hot start in 2013, with shares up a whopping 45%. >>5 Huge Stocks Ready to Rocket Higher in April If you take a look at the chart for Cimatron, you'll notice that this stock is bouncing strongly today right off some near-term support at $5.92 a share, and it's starting to rip sharply higher and break out above some near-term overhead resistance at $6.60 a share. If this breakout holds, then shares of CIMT could easily explode much higher from current levels. Traders should now look for long-biased trades in CIMT if it manages to break out above some near-term overhead resistance at $6.60 a share and then once it clears its 50-day moving average of $7.80 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 volume of 492,887 shares. If that breakout triggers soon, then CIMT will set up to re-test or possibly take out its next major overhead resistance level at $8.95 a share. Any high-volume move above $8.95 will then put $11 to $12.88 into range for shares of CIMT. Traders can look to buy CIMT off any weakness to anticipate that breakout and simply use a stop that sits right below $5.92 a share. One could also buy CIMT off strength once it clears those breakout levels with volume and simply use a stop that's a few percentage points below your entry point. I would add to either position if CIMT clears $8.95 a share with heavy upside volume. This stock has explosive potential because the tradable float is low at 2.43 million shares and the short interest as a percentage of the float is high for CIMT at 10.7%. Make sure to have this name on your breakout trading radar.