WINDERMERE, Fla. (Stockpickr) -- 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 it significantly higher.An example of a recent successful breakout trade is biotechnology and drugs player Aegerion Pharmaceuticals ( AEGR), which I featured in Nov. 29's " 5 Stocks About to Burst." I mentioned in that piece that shares of AEGR were trending sideways between $18.33 on the downside and $23 a share on the upside. At that time, the stock was just starting to bounce of $22 a share with decent upside volume. That move was quickly pushing AEGR within range of triggering a major breakout trade above the upper-end of its recent range at $23 a share. >>5 Under-$10 Stocks Primed to Rise in January Guess what happened? Shares of AEGR hit $22.98 a share a few days later and then pulled right back to its 50-day moving average where buyers came in and supported the stock. A few weeks later, AEGR triggered that breakout above $23 a share with decent upside volume. The stock has now hit a new 52-week high of $28.23 a share today, which is a solid gain for anyone who played the breakout. Shares of AEGR are now in clear uptrend and the stock still looks like it wants to trend significant 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. >>5 Breakout Trades to Profit From the 'January Effect' 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 trade higher from current levels. >>5 Stocks Insiders Are Scooping Up
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