DELAFIELD, Wis. ( 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 Stocks Under $10 Set to Soar With that in mind, let's take a look at several stocks rising on unusual volume today. JA Solar JA Solar ( JASO) designs, manufactures and markets high-performance solar cells made from specially processed silicon wafers. This stock closed up 2.9% at $10.17 in Monday's trading session. Monday's Volume: 5.84 million
Three-Month Average Volume: 2.29 million
Volume % Change: 175% From a technical perspective, JASO trended higher here and broke out above some near-term overhead resistance levels at $9.88 to $9.91 with above-average volume. This stock has been uptrending strong for the last month, with shares soaring higher from its low of $7 to its intraday high of $10.64. During that uptrend, shares of JASO have been consistently making higher lows and higher highs, which is bullish technical price action. Traders should now look for long-biased trades in JASO as long as it's trending above Monday's low of $9.41 or above its 50-day at $8.59 and then once it sustains a move or close above Monday's high of $10.64 with volume that's near or above 2.29 million shares. If we get that move soon, then JASO will set up to re-test or possibly take out its 52-week high at $11.40. Any high-volume move above $11.40 will then put its next major overhead resistance levels at $11.70 to $12.85 into range for shares of JASO.