SolarCity

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SolarCity ( SCTY) engages in the design, installation and sale or lease of solar energy systems to residential and commercial customers, and government entities in the U.S. This stock closed up 4.7% at $35.84 in Monday's trading session.

Monday's Volume: 3.64 million
Three-Month Average Volume: 2.42 million
Volume % Change: 145%

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From a technical perspective, SCTY bounced sharply higher here right above some near-term support at $34.12 with above-average volume. This stock has been uptrending for the last few weeks, with shares moving higher from its low of $28.31 to its recent high of $37.87. During that move, shares of SCTY have been making mostly higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of SCTY within range of triggering a near-term breakout trade. That trade will hit if SCTY manages to take out its 50-day moving average at $37.82 and then once it takes out its recent high at $37.87 with high volume.

Traders should now look for long-biased trades in SCTY as long as it's trending above some key near-term support at $34.12 and then once it sustains a move or close above those breakout levels with volume that's near or above 2.42 million shares. If that breakout hits soon, then SCTY will set up to re-test or possibly take out its next major overhead resistance levels at $43 to $45.60.

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