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 sod risk management are banking ridiculous coin on a regular basis.

Just take a look at some of the big movers to the upside in the under-$10 complex from Wednesday, including Hansen Medical (HNSN) , which exploded up by 39.8%; Prima BioMed (PBMD) , which jumped by 24.3%; Rennova Health (RNVA) , which soared by 22%; and UniPixel (UNXL) , which ripped higher by 21.1%. 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. These are also the exact type of stocks that I love to trade and alert to my subscribers in real-time. 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 stocks, I do it almost entirely based off of the charts and technical analysis. I also like to find under-$10 stocks with a catalyst, but that's secondary to the chart and volume patterns.

With that in mind, here's a look at several under-$10 stocks that look poised to potentially trade higher from current levels.

Viking Therapeutics

One under-$10 clinical-stage biopharmaceutical player that's starting to spike within range of triggering a big breakout trade is Viking Therapeutics  (VKTX) , which focuses on the development of therapies for metabolic and endocrine disorders. This stock has been smashed lower by the sellers over the last six months, with shares off sharply by 79.3%.

If you take a glance at the chart for Viking Therapeutics, you'll notice that this stock ripped sharply higher on Wednesday right off some near-term support at $1.21 a share with strong upside volume flows. Volume for that trading session registered over 990,000 shares, which is well above its three-month average action of 307,178 shares. This high-volume spike to the upside is now quickly pushing shares of Viking Therapeutics within range of triggering a big breakout trade above some near-term overhead resistance levels.

Market players should now look for long-biased trades in shares of Viking Therapeutics if it manages to break out above its 20-day moving average of $1.41 share and then above more key resistance levels at $1.45 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 307,178 shares. If that breakout triggers soon, then this stock will set up to re-fill some of its previous gap-down-day zone that started near $2.89 a share.

Traders can look to buy this stock off weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support at $1.21 a share. One can also buy shares of Viking Therapeutics 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.

Roka Bioscience

Another under-$10 stock that's starting to trend within range of triggering a big breakout trade is Roka Bioscience  (ROKA) , which focuses on the development and commercialization of molecular assay technologies for the detection of foodborne pathogens in the U.S. This stock has been smacked lower by the sellers over the last six months, with shares down sharply by 68.9%.

If you take a look at the chart for Roka Bioscience, you'll notice that this stock has recently formed a major bottoming chart pattern, after shares found some buying interest at 50 cents to 53 cents per share over the last couple of months. Shares of Roka Bioscience trended notably higher on Wednesday right above 53 cents per share with decent upside volume flows. Volume for that trading session registered over 69,000 shares, which is above its three-month average action of 42,205 shares. This high-volume rip to the upside is now quickly pushing this stock within range of triggering a big breakout trade above some near-term overhead resistance levels.

Market players should now look for long-biased trades in Roka Bioscience if it manages to break out above some near-term overhead resistance levels at its 20-day moving average of 63 cents per share to more near-term resistance at $66 cents per 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 42,205 shares. If that breakout hits soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at its 50-day moving average of 70 cents per share to 80 cents, or even 90 to 95 cents per share.

Traders can look to buy this stock off weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at 53 to 50 cents per share. One can also buy shares of Roka Bioscience 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.

Calumet Specialty Products Partners

One under-$10 basic materials player that's starting to spike within range of triggering a near-term breakout trade is Calumet Specialty Products Partners  (CLMT - Get Report) , which produces and sells specialty hydrocarbon products in North America. This stock has been destroyed by the sellers over the last six months, with shares plunging lower by 80.1%.

If you take a glance at the chart for Calumet Specialty Products Partners , you'll notice that this stock recently gapped-down sharply lower from around $11 a share to its new 52-week low of $4.45 a share with heavy downside volume flows. Following that move, shares of Calumet Specialty Products Partners rebound sharply higher on Wednesday off that $4.45 low with strong upside volume flows. Volume for that trading session registered over 3.50 million shares, which is well above its three-month average action of 892,921 a shares. This high-volume spike is now starting to push this stock within range of triggering a near-term breakout trade.

Traders should now look for long-biased trades in Calumet Specialty Products Partners if it manages to break out above some near-term overhead resistance levels at $5.39 a share to its gap-down-day high of $6.18 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 892,921 shares. If that breakout takes hold soon, then this stock will set up to re-fill some of its previous gap-down-day zone that started near $11 a share.

Traders can look to buy this stock off weakness to anticipate that breakout and simply use a stop that sits right around Wednesday's intraday low of $4.64 a share or near its new 52-week low of $4.45 a share. One can also buy shares of Calumet Specialty Products Partners off strength once it starts to bust above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Memorial Production Partners

Another under-$10 stock that's starting to move within range of triggering a near-term breakout trade is Memorial Production Partners  (MEMP) , which engages in the acquisition, development, exploitation and production of oil and natural gas properties This stock has been hit hard by the bears over the last six months, with shares down by 31.7%.

If you look at the chart for Memorial Production Partners, you'll notice that this stock spiked sharply higher on Wednesday right off its 20-day moving average of $2.13 a share and back above its 50-day moving average of $2.22 a share with strong upside volume flows. Volume for that trading session registered over 1.15 million shares, which is well above its three-month average action of 795,132 shares. This high-volume rip to the upside is now quickly pushing shares of Memorial Production Partners within range of triggering a near-term breakout trade.

Market players should now look for long-biased trades in Memorial Production Partners if it manages to break out above some near-term overhead resistance levels at $2.28 to $2.50 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 795,132 shares. If that breakout fires off soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $2.73 to $3, or even $3.21 to $3.75 a share.

Traders can look to buy Memorial Production Partners off weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support levels at $2 to $1.90 a share. One can also buy this stock off strength once it starts to move above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

Gevo

One final under-$10 stock that's starting to trend within range of triggering a big breakout trade is Gevo  (GEVO - Get Report) , which focuses on the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. This stock has been annihilated by the sellers over the last six months, with shares plunging lower by 86.7%.

If you take a glance at the chart for Gevo, you'll notice that this stock has been uptrending a bit over the last few weeks, with shares moving higher off its new 52-week low of 22 cents per share to its intraday high on Wednesday of 30 cents per share. During that uptrend, shares of Gevo have been making mostly higher lows and higher highs, which is bullish technical price action. Shares of Gevo ripped sharply higher on Wednesday right above some near-term support at 25 cents per share with strong upside volume flows. Volume for that trading session registered over 3.12 million shares, which is well above its three-month average action of 744,246 shares. This high-volume rip higher is now quickly pushing this stock within range of triggering a big breakout trade.

Traders should now look for long-biased trades in Gevo if it manages to break out above some near-term overhead resistance at 30 cents per 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 744,246 shares. If that breakout develops soon, then this stock will set up to re-test or possibly take out its next major overhead resistance level at its 50-day moving average of 35 cents per share, or even 40 to 50 cents per share.

Traders can look to buy shares of Gevo off weakness to anticipate that breakout and simply use a stop that sits right around some key near-term support at 25 cents per share. One can also buy this stock off strength once it starts to trend above 30 cents per share with volume and then simply use a stop that sits a comfortable percentage from your entry point.

 

Disclosure: This article is commentary by an independent contributor. At the time of publication, the author was long VKTX.