Cigna (CI), a health services organization, provides insurance and related products and services in the U.S. and internationally. This stock closed up 5.4% at $83.73 in Monday's trading session.
Monday's Volume: 5.91 million
Three-Month Average Volume: 2.11 million
Volume % Change: 223%
From a technical perspective, CI spiked sharply higher here right off its 200-day moving average of $80.11 and back above its 50-day moving average of $81.02 with strong upside volume. This stock recently formed a double bottom chart pattern at $76.41 to $76.79. Since forming that bottom, shares of CI have ripped sharply higher and it's now quickly moving within range of triggering a near-term breakout trade. That trade will hit if CI manages to take out Monday's high of $84.28 to some more near-term overhead resistance at $84.37 with high volume.
Traders should now look for long-biased trades in CI as long as it's trending above its 50-day at $81.02 and then once it sustains a move or close above those breakout levels with volume that's near or above 2.11 million shares. If that breakout triggers soon, then CI will set up to re-test or possibly take out its next major overhead resistance levels at $88 to its 52-week high at $90.63.
To see more stocks rising on unusual volume, check out the Stocks Rising on Unusual Volume portfolio on Stockpickr.
-- Written by Roberto Pedone in Delafield, Wis.