DELAFIELD, Wis. ( 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 that can ultimately push the stock significantly higher.>>5 Stocks Under $10 Set to Soar One example of a successful breakout trade I flagged recently was renewable energy player Hanwha Solarone ( HSOL), which I featured in Sept. 26's " 5 Stocks Ready to Breakouts" at around $4.10 a share. I mentioned in that piece that shares of HSOL were uptrending strong over last few months, with shares making mostly higher lows and higher highs, which is bullish technical price action. That move was starting to push HSOL within range of triggering a big breakout trade above its 52-week high at $4.28 a share. Guess what happened? Shares of HSOL didn't wait long to take out its former 52-week high and trigger that breakout, since the stock cleared $4.28 a share with monster volume on September 30. Shares of HSOL have continued to soar higher since triggering that breakout, with the stock hitting a recent high of $5.66 a share. That represents a solid gain of over 30% from the time of my article for anyone who played this technical setup. I don't think shares of HSOL are done going higher either, so traders should look for more upside in this stock if it clears its new 52-week high at $5.66 with strong volume. 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 Big Stocks to Trade for Gains 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.
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