Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Lexicon Pharmaceuticals
So What: Shares were up on unusually high trading volume. Just over halfway through the trading day, more than 1 million shares have already changed hands, compared with a three-month daily average of 750,000 shares.
Now What: The company did not release any news today, so today's move doesn't appear to be driven by fundamentals. Large volume spikes can mean a big buyer has moved into the market, and that's often seen as a technical breakout among traders. Lexicon shares have already begun to fall off the highs of the day, so short-term, I would beware of this price spike.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his Motley Fool CAPS picks at TMFFlushDraw.
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