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 Rocket Stocks to Buy Now With that in mind, let's take a look at several stocks rising on unusual volume today. NuStar Energy NuStar Energy (NS) is engaged in the terminalling and storage of petroleum products, the transportation of petroleum products and anhydrous ammonia and asphalt and fuels marketing. This stock closed up 1.7% at $43.97 in Wednesday's trading session. Wednesday's Volume: 1.13 million
Three-Month Average Volume: 425,063
Volume % Change: 195% >>5 Stocks Poised for Breakouts From a technical perspective, NS spiked modestly higher here with above-average volume. This stock has been uptrending strong for the last month and change, with shares pushing higher from its low of $36.15 to its intraday high of $44.81. During that uptrend, shares of NS have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of NS within range of triggering a big breakout trade. That trade will hit if NS manages to take out its 200-day moving average at $45.32 to some past overhead resistance levels at $45.56 to $46.19 with high volume. Traders should now look for long-biased trades in NS as long as it's trending above $42 and then once it sustains a move or close above those breakout levels with volume that's near or above 425,063 shares. If that breakout hits soon, then NS will set up to re-test or possibly take out its next major overhead resistance levels at $50 to $52.50.
Select the service that is right for you!COMPARE ALL SERVICES
- $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
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV