WINDERMERE, Fla. (Stockpickr) -- Professional traders running mutual funds and hedge funds don't just look at a stock's price moves; they also track big changes in volume activity. Often when above-average volume moves into an equity, it precedes a large spike in volatility.
Unusual volume can also be a major signal that hedge funds and momentum traders are piling into a stock ahead of a catalyst. These types of traders like to get in well before a large spike, so it's always a smart move to monitor unusual volume. That said, remember to combine trend and price action with unusual volume. Put them all together to help you decipher the next big trend for any stock.>>5 "Magic Formula" Stocks for 2013 With that in mind, let's take a look at several stocks rising on unusual volume today. Auxilium Pharmaceuticals (AUXL) This is a specialty biopharmaceutical company, which develops and markets products to urologists, endocrinologists, orthopedists and select primary care physicians and plastic surgeons who focus on the hand, and rheumatologists. This stock is trading up 4.4% at $18.35 in recent trading. Today's Volume: 666,000 Average Volume: 485,300 Volume % Change: 85% From a technical perspective, AUXL is ripping higher here right off some near-term support at $17.65 with above-average volume. This move is quickly pushing AUXL within range of triggering a near-term breakout trade. That trade will hit once AUXL manages to clear some near-term overhead resistance levels at $18.86 to $19.46 and then once it takes out its 50-day moving average at $19.83 with high volume. Traders should now look for long-biased trades in AUXL as long as it's trending above $17.65, and then once it sustains a move or close above those breakout levels with volume that hits near or above 485,300. If that breakout triggers soon, then AUXL will set up to re-test or possibly take out its 200-day moving average at $21.47. SodaStream International (SODA) This company is engaged in developing, manufacturing and marketing home beverage carbonation systems and related products. This stock is trading up 6.6% at $43.27 in recent trading.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV