WINDERMERE, Fla. (Stockpickr) -- U.S. stocks are advancing modestly higher this morning ahead of the Federal Reserve meeting that's scheduled for later today. Some market observes believe that we could get another round of quantitative easing, or QE3, but others feel that the Fed will do nothing more until we move into the new year.
Some traders are also getting long stocks today ahead of the much-anticipatedZynga (ZNGA) IPO (I wrote about it back in May); the stock is slated to start trading on Friday. A strong showing by Zynga could easily perused large money managers to chase some high-beta tech and social networking stocks that could move higher in front of the IPO.
At last check, the Dow Jones Industrial Average moving higher by over 57 points and the S&P 500 was up 6 points. The tech-heavy Nasdaq was trending higher by over 3 points.There are still hopes among market players that equities will experience a year-end rally as hedge fund and mutual fund managers chase performance to boost returns. If we get that action, then a number of stocks are going to breakout and trend significantly higher. The top traders in the world know that markets are made up of thousands of stocks in different sectors. With so many moving parts, there's always some sector or stock that's acting strong and breaking out. Trading breakouts is not a new game on Wall Street. This strategy has been mastered by legendary traders such as William O'Neal, Stan Weinstein and Nicolas Darvas. These pros know that once a stock starts to break out above past resistance levels, and hold above those breakout prices, then it can easily trend significantly higher. Here's a look at several stocks setting up to break out and potentially trade higher from current levels.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV