WINDERMERE, Fla. ( Stockpickr) -- Professional traders who run mutual funds and hedge funds don't just look at a stock's price moves; they also track big changes in volume activity. Many times when above-average volume moves into equity, it precedes a large spike in volatility.
Let's take a look at a number of stocks rising on unusual volume today. They are all recording volume in midday trading that is already at least 50% above their average trading volume for a full day.
Average Volume: 222,400
Volume % Change: 1203% Shares of PETS are ripping today after the company reported better-than-expected quarterly profits due to strong online sales for animal medicine. From a technical standpoint, PETS has started to break out today above some past overhead resistance at $12.18 on monster volume. Market players should now watch for PETS to close near its daily highs and above $12.18, to $13 a share, to signal it wants to trend much higher. If we get that action, traders should look for long-biased trades back toward the next significant overhead resistance levels at $14 to $16. Keep in mind that the relative strength index is now 86, an extremely overbought reading.