One stock in the biotechnology and drugs complex that's trending within range of triggering a major breakout trade is Novavax ( NVAX), whose product pipeline focuses on a variety of infectious diseases and whose vaccine candidates have completed clinical trials that target pandemic influenza, seasonal influenza and respiratory syncytial virus. This stock is off to a hot start in 2012, with shares up over 60% so far.

If you take a look at the chart for Novavax, you'll notice that this stock has been trading inside of a large range for the past two months, with shares bouncing between $1.80 on the downside and $2.24 on the upside. A high-volume move outside of the upper-end of that range will trigger a major breakout trade for shares of Novavax.

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Traders should now look for long-biased trades in NVAX once it manages to break out above some near-term overhead resistance levels at $2.15 to $2.24 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 1 million shares. If that breakout triggers soon, then NVAX will have a great chance of re-testing or possibly taking out its next major overhead resistance levels at $2.70 to $3 a share. Any high-volume move above $3 could put NVAX's 2011 high into play at $3.50.

One could look to buy NVAX off any weakness to anticipate that breakout, and simply use a stop that sits near $1.85 to $1.80 a share. Or a better strategy might be to buy off strength once it starts to clear $2.15 to $2.24 with volume, and then simply use a stop that sits just under its 50-day moving average of $2.01 a share.

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