Trading stocks that trigger major breakouts can lead to massive profits. Once a stock trends to a new high or takes out a prior overhead resistance point, then it's free to find new buyers and momentum players who can ultimately push the stock significantly higher.

Breakout candidates are something that I tweet about on a daily basis. I frequently tweet out high-probability setups, breakout plays and stocks that are acting technically bullish. These are the stocks that often go on to make monster moves to the upside. What's great about breakout trading is that you focus on trend, price and volume. You don't have to concern yourself with anything else. The charts do all the talking.

Trading breakouts is not a new game on Wall Street. This strategy has been mastered by legendary traders such as William O'Neal, Stan Weinstein and Nicolas Darvas. These pros know that once a stock starts to break out above past resistance levels and hold above those breakout prices, then it can easily trend significantly higher.

With that in mind, here's a look at five stocks that are setting up to break out and possibly trade higher from current levels.

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Midcoast Energy Partners

One energy player that's starting to trend within range of triggering a big breakout trade is Midcoast Energy Partners (MEP) , which engages in gathering, processing, treating, transporting, and marketing natural gas, natural gas liquids, crude oil, and condensate in the U.S. This stock has been smacked lower by the sellers over the last six months, with shares down large by 54.6%.

If you take a look at the chart for Midcoast Energy Partners, you'll notice that this stock has been uptrending a bit over the last month and change, with shares moving higher off its new 52-week low of $3.76 a share to its recent high of$4.99 a share. During that uptrend, this stock has been making mostly higher lows and higher highs, which is bullish technical price action. Shares of Midcoast Energy Partners ripped sharply higher on Thursday right above its 20-day moving average of $4.28 a share with strong upside volume flows. That high-volume move is now quickly pushing this stock within range of triggering a big breakout trade.

Traders should now look for long-biased trades in Midcoast Energy Partners if it manages to break out above some key near-term overhead resistance levels at Thursday's intraday high of $4.95 a share to around $5 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 190,539 shares. If that breakout hits soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $5.50 to its 50-day moving average of $5.98, or even $6.50 a share.

Traders can look to buy Midcoast Energy Partners off weakness to anticipate that breakout and simply use a stop that sits right below its 20-day moving average of $4.28 a share or around more support at $4 a share. One can also buy this stock off strength once it starts to clear those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

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Seres Therapeutics

A microbiome therapeutics platform player that's starting to trend within range of triggering a near-term breakout trade is Seres Therapeutics(MCRB) - Get Report , which focuses on the development of biological drugs designed to restore health by repairing the function of a dysbiotic microbiome. This stock has been hit hard by the sellers over the last six months, with shares off sharply by 46.4%.

If you take a glance at the chart for Seres Therapeutics, you'll notice that this stock ripped sharply higher on Thursday right off some near-term support at $24.02 a share and back above its 20-day moving average of $25.25 a share with strong upside volume flows. Volume for that trading session registered over 290,000 shares, which is above its three-month average action of 252,308 shares. This high-volume spike is now quickly pushing shares of Seres Therapeutics within range of triggering a near-term breakout trade.

Traders should now look for long-biased trade in Seres Therapeutics if it manages to break out above Thursday's intraday high of $26.15 a share and then above more key near-term resistance at $26.97 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 252,308 shares. If that breakout fires off soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $30 to $30.54, or even $32 to $34 a share.

Traders can look to buy Seres Therapeutics off weakness to anticipate that breakout and simply use a stop that sits just below some key near-term support levels at $24.02 a share or at $22.95 a share. One could also buy this stock off strength once it starts to take out those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

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Heritage Insurance

Another financial player that's starting to trend within range of triggering a big breakout trade is Heritage Insurance(HRTG) - Get Report , which operates as a property and casualty insurance holding company in the state of Florida. This stock has been under some selling pressure over the last six months, with shares off notably by 19.5%.

If you take a glance at the chart for Heritage Insurance, you'll see that this stock has been downtrending badly over the last month, with shares collapsing off its high of $20.16 a share to its new 52-week low of $14.72 a share with monster downside volume flows. During that slide, this stock has been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of Heritage Insurance have now started to rebound sharply off that $14.72 low with decent upside volume flows. Volume during Thursday's trading session registered over 280,000 shares, which is well above its three-month average action of 218,984 a shares as the stock ripped up 4%. This high-volume rip to the upside is now quickly pushing this stock within range of triggering a big breakout trade above some key near-term overhead resistance levels.

Traders should now look for long-biased trades in Heritage Insurance if it manages to break out above some near-term overhead resistance levels at $16 to around $16.50 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average action of 218,994 shares. If that breakout develops soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at its 20-day moving average of $17.45 a share or its 50-day moving average of $18.52 a share.

Traders can look to buy Heritage Insurance off weakness to anticipate that breakout and simply use a stop that sits right below Thursday's intraday low of $15.04 a share or around its new 52-week low of $14.72 a share. One can also buy this stock off strength once it starts to move above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

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Glaukos

Another healthcare player that's starting to move within range of triggering a near-term breakout trade is Glaukos(GKOS) - Get Report , which develops and commercializes products and procedures designed for the treatment of glaucoma. This stock has been under selling pressure over the last six months, with shares off sharply by 48.4%.

If you take a glance at the chart for Glaukos, you'll notice that this stock has been consolidating and trending sideways over the last two months and change, with shares moving between $14.25 on the downside and $17.47 on the upside. This stock ripped sharply higher on Thursday right above some near-term support at $15 a share with above-average volume. Volume for that trading session registered over 260,000 shares, which is well above its three-month average action of 205,602 shares. This high-volume spike to the upside is now starting to push shares of Glaukos within range of triggering a near-term breakout trade above the upper-end of its recent sideways trending chart pattern.

Traders should now look for long-biased trades in Glaukos if it manages to break out above Thursday's intraday high of $16.61 a share and then above its 50-day moving average of $17.23 a share and over more key resistance at $17.47 a share with high volume. Look for a sustained move or close above those levels with volume that registers near or above its three-month average action of 205,602 shares. If that breakout kicks off soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels $19 to $20, or even $22 to $23 a share.

Traders can look to buy Glaukos off weakness to anticipate that breakout and simply use a stop that sits right below some key near-term support at $15 a share or near its new 52-week low of $14.25 a share. One can also buy this stock off strength once it starts to bust above those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.

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Five Prime Therapeutics

My final breakout trading prospect is clinical-stage biotechnology player Five Prime Therapeutics(FPRX) - Get Report , which focuses on the discovery and development of protein therapeutics that block cancer and inflammatory disease processes. This stock has been red hot over the last six months, with shares up sharply higher by 53.3%.

If you look at the chart for Five Prime Therapeutics, you'll notice that this stock ripped notably higher on Thursday right above some near-term support at $30.35 a share with strong upside volume flows. Volume for that trading session registered over 688,000 shares, which is well above its three-month average action of 498,690 shares. This high-volume spike to the upside is now quickly pushing shares of Five Prime Therapeutics within range of triggering a major breakout trade above a key downtrend line that dates back to December of last year.

Traders should now look for long-biased trades in Five Prime Therapeutics if it manages to break out above that key downtrend line which will trigger over $35 to $35.50 a share and then above more resistance at $36.44 a share with volume that hits near or above its three-month average action of 498,690 shares. If that breakout develops soon, then this stock will set up to re-test or possibly take out its next major overhead resistance levels at $38.18 to $40, or even $42 to $43 a share.

Traders can look to buy shares of Five Prime Therapeutics off weakness to anticipate that breakout and simply use a stop that sits right below some near-term support at $30.35 a share or around more key support at $28 a share. One can also buy this stock off strength once it starts to trend above those breakout levels with volume and then simply use a stop that sits a conformable percentage from your entry point.

Disclosure: This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.