Harry Boxer identifies three stocks that broke out this week and appear to be headed higher.
While a rising tide may lift all boats, most traders identify technical support resistance levels, that when breached indicate further momentum. These three stocks broke out this week and appear to have plenty of upside.
Neoleukin Therapeutics, Inc. (NLTX) edged up 27¢ to $11.38 on average volume of 555,100 shares Wednesday. The move, on no news from the biopharmaceutical company, extended the stock's rally to five days in a row. The rally has seen the stock bounce off support and break above its declining tops line and lateral resistance. Watch for a re-test of the spike high from Dec 23 at $13.43.
Sea Limited (SE) jumped $3.05 to $44.36 on 10.4 million shares Wednesday, about 2.5x its average volume. Goldman Sachs initiated coverage of the Singapore-based digital entertainment and services company with a Conviction Buy rating. The move popped the stock out of a gradually ascending channel it's been in since its gap up in November. Watch for $47 next followed by $52.
XPEL, Inc. (XPEL) climbed 96¢ to $16.35 on 924,000 shares, about 5x its average volume. The move, on no news from the auto parts company, broke the stock out of a two-month coil. The angle of ascent of the eight-month rising channel points to gains up to $21-$22.
See Harry's video chart analysis on these stocks.
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Harry Boxer is founder of TheTechTrader.com, a live trading room featuring his stock picks, technical market analysis, and live chart presentations.
