I am by no means a Dev, but I love logic and computers. Since someone mentioned that the phone looks at both SD and Ext SD during boot, I thought I would try something. Note that I am running KATANA, not a CM10 build. I am using the touch recovery. I just MOVED the O and Clockwork folders from SD to my external, hit REBOOT RECOVERY, and was amazed to see the CWM Rec still function. This means ( I think) that even if I brick or erase certain parts of my SD that I can still run the Katana.zip (which I renamed update.zip and placed on my Ext SD along with the O and Clockwork folders. May still be a way to make it brick but at this point it seems less likely.
EDIT!!! While you do NOT need CM10 as a ROM for the Vol UP + Power key combo to work, the CWM files placed in data/app and data/data CANNOT be moved to Ext SD and be used. This means that anything that erases your data folder or returns it to "stock" ( no touch rec) would disable the recovery. I do not know of any way to make the whole damn program boot from ExtSD, which would be amazing lol.