In the medical equipment and supplies complex, a stock trading within range of triggering a big breakout is Mako Surgical (MAKO), a medical device company that markets its advanced robotic arm solution and orthopedic implants for orthopedic procedures. This stock has been killing it so far in 2012, with shares up over 55%.
If you look at the chart for Mako Surgical, you'll notice that this stock formed a sweet double bottom back in December at $24.40 to $25.01 a share. After forming that bottom, the stock has uptrended strong towards its current price of around $39 a share. Shares of MAKO also recently trigger a breakout trade after the stock took out some near-term overhead resistance at $37.90 a share. Now the stock is within range of triggering another big breakout trade.
Traders should now look for long biased trades in MAKO if this stock can manage to take out some near-term overhead resistance at $40.18 a share with strong volume. Look for volume on that move that registers near or above its three-month average volume of 996,436 shares. If we get that action soon, then this stock has an awesome chance of trading back towards its next significant overhead resistance level at $43 a share very quickly or potentially much higher.If you get long off strength or weakness, I would simply use a mental stop that's just below some near-term support at $38 a share, or much tighter just below $40. This yet another heavily shorted breakout candidate that is worth putting on your trading radar. The current short interest as a percentage of the float for MAKO is a gigantic 38.1%. The bears will not be happy if MAKO breaks out soon and takes out its all-time high of $43, so be ready if it triggers. I also featured Mako recently in " 8 Stocks Rising on Unusual Volume." Follow @stockpickr
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