5 Stocks Rising on Unusual Volume

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.

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Major moves in volume can signal unusual activity, such as insider buying or selling -- or buying or selling by "superinvestors."

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.

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With that in mind, let's take a look at several stocks rising on unusual volume today.

Ctrip.com

Ctrip.com ( CTRP) provides travel-related services including hotel reservation, air-ticketing and packaged-tour services, as well as Internet-related advertising and other related services. This stock closed up 6.4% at $33.85 on Wednesday.

Wednesday's Volume: 4.96 million
Average Volume: 2.31 million
Volume % Change: 137%

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From a technical perspective, CTRP ripped higher here right above some near-term support at $31.25 with heavy upside volume. Shares of CTRP entered breakout territory, since the stock took out some near-term overhead resistance at $33.43. This move is quickly pushing CTRP within range of triggering another major breakout trade. That trade will hit if CTRP manages to clear its 52-week high at $35.33 with high volume.

Traders should now look for long-biased trades in CTRP as long as it's trending above Wednesday's low of $32.56 and then once it sustains a move or close above its 52-week high at $35.33 with volume that hits near or above 2.31 million shares. If that breakout triggers soon, then CTRP will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $40 to $43.

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