Stock Quotes in this Article: AMLN, BEAV, HTWR, JAKK, SCSS, SNDK, SSYS, GRPN

WINDERMERE, Fla. (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. Many times when above average volume moves into equity it precedes a large spike in volatility.

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

>>5 Stocks Set to Soar on Bullish Earnings

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 today.

 

HeartWave International

HeartWave International (HTWR) develops and manufactures small implantable heart pumps, or ventricular assist devices, for the treatment of advanced heart failure. This stock is trading up 4.5% at $70.21 in recent trading.

Today’s Volume: 498,000

Average Volume: 124,859

Volume % Change: 423%

Shares of HTWR are ripping higher today after Wall Street analysts said the review by the FDA of the company’s blood pump raised few new issues and the device was likely to get approved.

>>Health Care Stocks Bought and Sold by Hedge Funds

From a technical perspective, HTWR is surging back above its 50-day moving average today on heavy volume. This move has also pushed the stock close to and above some near-term overhead resistance at $69.68 to $71.11.

Traders should now consider long-biased trades as long as HTWR is trending above both its 50-day at $68.50 and above those near-term resistance levels with strong upside volume flows. I would consider any upside volume days that are near or above 124,859 shares as strong. If we get that action, look for HTWR to re-test its recent highs of $74.89 to $77.01 in the near future.

Jakks Pacific

Jakks Pacific (JAKK) is a toy company that designs, produces, markets and distributes toys and related products, pet toys, consumables and related products, electronics and related products, kids indoor and outdoor furniture, and other consumer products. This stock is trading up 2.9% at $18.00 in recent trading.

Today’s Volume: 653,000

Average Volume: 160,384

Volume % Change: 377%

>>12 Highest-Rated Consumer Stocks Picked by S&P

Shares of JAKK are soaring today after the company said it agreed to talk with Oaktree Capital Management, a company that offered to buy it last year. The company also said it would offer $80 million shares for at least $20 per share, in a tender offer starting on or near May 25.

From a technical perspective, JAKK is spiking notably higher today and the stock has triggered a near-term breakout trade with shares moving above some overhead resistance at $18.16 with heavy volume. Shares of JAKK also briefly traded above some past overhead resistance at $19.18 today.

Traders should now look for long-biased trades if JAKK can trigger a much bigger breakout trade. That trade will hit once JAKK takes out $19.53 to $20.83 with high volume. Look for volume on a move or close above those levels that hits near or well above 160,384 shares. I would consider it bullish if JAKK is trending above $19.53 to $20.14 with strong volume, since it will raise the probability off the stock taking out $20.83 in the near future.

Amylin Pharmaceuticals

Amylin Pharmaceuticals (AMLN) is a biopharmaceutical company focusing on the diabetes and other metabolic diseases through the discovery, development and commercialization of medicines. This stock is trading up 11.5% at $25.58 in recent trading.

Today’s Volume: 9.7 million

Average Volume: 5.15 million

Volume % Change: 207%

>>5 Big Stocks to Trade or Gains

Shares of AMLN are surging higher today after a report hit the wires that the company is reaching out to potential buyers about a possible sale. Reuters said that AMLN is looking for buyers and has hired Credit Suisse and Goldman Sachs as financial advisers.

From a technical perspective, AMLN is gapping up sharply today on monster volume. This move is quickly pushing the stock within range of triggering a big breakout trade. That trade will hit once AMLN can manage to move or close above some near-term overhead resistance at $25.84 with high-volume.

Traders should now look for long-biased traders in AMLN as long as this stock is trending above $25.84 with strong upside volume flows. I would consider any upside volume day that registers near or above 5.15 million shares as strong. Look for AMLN to close near or above its daily high today of $25.96 as a sign that the upside momentum will continue in the short-term.

A possible target is $30 if we get a strong close, and we continue to see AMLN trending above $25.84 with strong upside volume flows.

BE Aerospace

BE Aerospace (BEAV) is a manufacturer of cabin interior products for commercial aircraft and business jets and distributor of aerospace fasteners and consumables. The stock is trading up 1.8% at $45.64 in recent trading.

Today’s Volume: 1.6 million

Average Volume: 849,867

Volume % Change: 159%

>>10 Industrial Stocks Poised for a Rebound

Shares of BEAV are rising modestly today after the company reported a 25% jump in first-quarter revenue. The company reported record first-quarter revenues of $747.3 million, a 24.5% increase from $600 million during the same period last year.

From a technical perspective, BEAV briefly traded back above its 50-day moving average of $46.13 today with strong volume. At last check, the stock has pulled back from its intraday high of $47.48, and is now trading back below its 50-day.

Traders should now look for long-biased trades if BEAV can manage to trigger a major breakout trade. That trade will hit once BEAV takes out some near-term overhead resistance at $48.48 with high-volume. Look for volume on a move or close above that level that registers near or well above 849,867 shares. If we get that action soon, look for BEAV to trend towards $50 to $55 in the near future.

SanDisk

SanDisk (SNDK) designs, develops and manufactures data storage solutions in a range of form factors using its flash memory, controller and firmware technologies. This stock is trading up 2.3% at $36.75 in recent trading.

Today’s Volume: 9.4 million

Average Volume: 6.5 million

Volume % Change: 105%

>>6 Tech Stocks That Rate Better Than Apple

From a technical perspective, SNDK is bouncing hard to the upside off of extremely oversold levels today with heavy volume. The stock’s current relative strength index (RSI) reading is 19.25, which is well below the average oversold reading of 30. Shares of SNDK gapped down big last Friday from over $40 to a low of $34.34 with heavy volume. The stock has now started to flirt with moving back above Friday’s high of $36.76.

Traders should only consider long-biased trades in SNDK if it’s trending above $36.76 with strong upside volume flows. I would consider upside volume that’s near or well above 6,513,360 shares as strong. If we get that action, then look for SNDK to fill some of that recent gap-down zone.

Select Comfort

Select Comfort (SCSS) is a bed manufacturer and retailer. Select Comfort designs, manufactures, markets and distributes the Sleep Number bed and other sleep-related products. This stock is trading up 2.5% at $31.56 in recent trading.

Today’s Volume: 1.8 million

Average Volume: 1.2 million

Volume % Change: 97%

From a technical perspective, SCSS is starting to move back above its 50-day moving average of $31.34 today with heavy volume. This move here follows a two-day high-volume selloff in the stock from $35.60 to back below its 50-day.

Traders should now consider long-biased trades in SCSS if it can manage to close back above its 50-day and near its daily high of $31.81. If we get that strong close today, look for SCSS to hit $33 or higher in the near-term. I would simply avoid long trades in SCSS if it closes below its 50-day and takes out today’s low of $29.30 with high volume.

I also featured Select Comfort, which shows up on a list of 4 Stocks That Are Real Sleepers in 2012, "5 Stocks Poised to Pop on Earnings."

Stratasys

Stratasys (SSYS) is a manufacturer of 3D printers and rapid prototyping systems for the office-based RP and direct digital manufacturing markets. This stock is trading up 1.2% at $48.44 in recent trading.

Today’s Volume: 355,000

Average Volume: 236,514

Volume % Change: 79%

>>5 Stocks to Trade for Breakout Gains

From a technical perspective, SSYS recently gapped up huge from around $35 to $45.48 on monster volume. Following that gap-up, the stock hit a recent high of $53.39, but has since then pulled back to today’s low of $46.62.

Traders should now consider long-biased trades if SSYS can manage to close near its daily highs today with high volume. At last check, the intraday high is $48.59 and volume is already well above its average daily volume. If we get a strong close today, then look for SYSS to make a run at that recent high of $53.39 or possibly higher. The probability of that run will increase if the stock is trending above today’s high with strong upside volume flows.

Groupon

Groupon (GRPN) is a local e-commerce marketplace that connects merchants to consumers by offering goods and services at a discount. This stock is trading up 4.5% at $11.65 in recent trading.

Today’s Volume: 3.6 million

Average Volume: 2.6 million

Volume % Change: 65%

From a technical perspective, GRPN is bouncing sharply off its recent low of $11.02 today with monster volume. This move is also coming off of an extremely oversold level for GRPN, since its current relative strength index (RSI) reading is 26.38. Oversold can always get more oversold, but GRPN is showing relative strength here since its moving up in a down market.

Traders should now consider long-biased trades in GRPN as long as it’s trending above $11.02 with strong upside volume. I would also look for long trades in GRPN if it can manage to close near or above its intraday high of $11.83. This stock could potentially have a powerful oversold bounce back towards $14.30 or higher if the upside volume continues to track strong. I would consider any upside volume day that registers near or above 2,610,440 shares as strong action.

Groupon shows up on a recent list of 4 Stocks With High Short Interest That Could Rise.

To see more stocks rising on unusual volume, check out the Stocks Rising On Unusual Volume portfolio on Stockpickr.

-- Written by Roberto Pedone in Winderemere, Fla.

RELATED LINKS:

>>5 Rocket Stocks Worth Buying This Week
>>5 Stocks Under $10 Set to Spike Higher

>>5 Big Stocks Everyone Hates -- But You Should Love

Follow Stockpickr on Twitter and become a fan on Facebook.

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

Roberto Pedone, based out of Windermere, Fla., is an independent trader who focuses on stocks, options, futures, commodities and currencies. He is also an outside contributor to Beconequity.com and maintains the website Maddmoney.net, which he sold to Blue Wave Advisors in 2008. Roberto studied International Business at The Milwaukee School of Engineering, and he spent a year overseas studying business in Lubeck, Germany.