Stock Quotes in this Article: CMGE, CRTO, CUDA, GRUB

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.

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

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GrubHub

GrubHub (GRUB) provides an online and mobile platform for restaurant pick-up and delivery orders in the U.S. This stock closed up 3.8% to $40.84 in Wednesday's trading session.

Wednesday's Volume: 1.05 million

Three-Month Average Volume: 473,847

Volume % Change: 121%

From a technical perspective, GRUB jumped higher here right above some near-term support at $38 with above-average volume. This bump to the upside on Wednesday is starting to push shares of GRUB within range of triggering a major breakout trade. That trade will hit if GRUB manages to take out Wednesday's intraday high of $42 to $44 and then above more resistance at $45.66 to its all-time high at $45.80 with high volume.

Traders should now look for long-biased trades in GRUB as long as it's trending above Wednesday's intraday low of $39.21 or above more near-term support at $38 and then once it sustains a move or close above those breakout levels with volume that hits near or above 473,847 shares. If that breakout triggers soon, then GRUB will set up to enter new all-time-high territory above $45.80, which is bullish technical price action. Some possible upside targets off that breakout are $50 to $55, or even $60.

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Criteo

Criteo (CRTO), together with its subsidiaries, operates as a technology company that provides Internet display advertising services in France and internationally. This stock closed up 5.8% at $38.84 in Wednesday's trading session.

Wednesday's Volume: 2 million

Three-Month Average Volume: 599,261

Volume % Change: 197%

From a technical perspective, CRTO ripped sharply higher here right off its 200-day moving average of $35.58 with strong upside volume flows. This move briefly pushed shares of CRTO into breakout territory, since this stock flirted with some near-term overhead resistance at $39.30. Shares of CRTO tagged an intraday high of $40.13, before it closed just below that level at $38.84. Market players should now look for a continuation move higher in the short-term if CRTO manages to clear Wednesday's intraday high of $40.13 with high volume.

Traders should now look for long-biased trades in CRTO as long as it's trending above its 200-day at $35.58 and then once it sustains a move or close above $40.13 with volume that hits near or above 599,261 shares. If that move gets started soon, then CRTO will set up to re-test or possibly take out its next major overhead resistance levels at $42.50 to $46.85.

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Barracuda Networks

Barracuda Networks (CUDA) designs and delivers security and storage solutions. It offers cloud-connected solutions that help its customers address security threats, enhance network performance, and protect and store their data. This stock closed up 3.4% to $26.06 in Wednesday's trading session.

Wednesday's Volume: 481,000

Three-Month Average Volume: 171,486

Volume % Change: 159%

From a technical perspective, CUDA trended higher here and broke out above some near-term overhead resistance at $26 with strong upside volume flows. This stock has been downtrending badly for the last two months, with shares moving lower from its high of $35.15 to its recent low of $23.95. During that downtrend, shares of CUDA have been consistently making lower highs and lower lows, which is bearish technical price action. That said, shares of CUDA have now started to rebound off that $23.95 low and are breaking out with solid volume. Market players should now look for a continuation move to the upside in the short-term if CUDA manages to clear Wednesday's intraday high of $26.58 to just above $27 with high volume.

Traders should now look for long-biased trades in CUDA as long as it's trending above Wednesday's intraday low of $25.27 or above more key near-term support at $23.95 and then once it sustains a move or close above $26.58 to just above $27 with volume that hits near or above 171,486 shares. If that move kicks off soon, then CUDA will set up to re-test or possibly take out its next major overhead resistance levels at its 50-day moving average of $29.11 to its 200-day moving average of $30.04. Any high-volume move above those levels will then give CUDA a chance to tag $32.

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China Mobile Games and Entertainment Group

China Mobile Games and Entertainment Group (CMGE), through its subsidiaries, develops and publishes mobile games primarily in the People's Republic of China. This stock closed up 7.1% at $20.38 in Wednesday's trading session.

Wednesday's Volume: 1.30 million

Three-Month Average Volume: 387,503

Volume % Change: 221%

From a technical perspective, CMGE ripped sharply higher here and broke out above some near-term overhead resistance at $19.79 with above-average volume. This stock has been uptrending strong for the last month and change, with shares moving higher from its low of $12.58 to its intraday high of $20.76. During that uptrend, shares of CMGE have been consistently making higher lows and higher highs, which is bullish technical price action. This sharp rip higher on Wednesday is now starting to push shares of CMGE within range of triggering another big breakout trade. That trade will hit if CMGE manages to take out some past overhead resistance at $21.20 to its 200-day moving average of $21.71 with high volume.

Traders should now look for long-biased trades in CMGE as long as it's trending above Wednesday's intraday low of $19.10 or above $18 and then once it sustains a move or close above those breakout levels with volume that's near or above 387,503 shares. If that breakout develops soon, then CMGE will set up to re-test or possibly take out its next major overhead resistance levels at $23.94 to $28.

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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.


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At the time of publication, author had no positions in stocks mentioned.

Roberto Pedone, based out of Delafield, Wis., is an independent trader who focuses on technical analysis for small- and large-cap stocks, options, futures, commodities and currencies. Roberto studied international business at the Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany. His work has appeared on financial outlets including

CNBC.com and Forbes.com. You can follow Pedone on Twitter at www.twitter.com/zerosum24 or @zerosum24.