This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Stocks Setting Up to Break Out

Ocean Rig UDW

One final stock that's trading within range of triggering a big breakout is Ocean Rig UDW (ORIG - Get Report), a Marshall Islands-registered international offshore drilling contractor. This stock is off to a monster start in 2012 with shares up over 40%.

If you look at the chart for Ocean Rig UDW, you'll notice that this stock bottomed in early 2012 at around $11.70 a share. Since marking that bottom, the stock has soared and up trended towards its current price of around $17.30. That big run-up now puts ORIG within range of breaking above two key technical overhead resistance levels. If that breakout does trigger soon, then it will push ORIG into all-time high territory.

Market players should now look for long-biased trades in ORIG if this stock can manage to take out some overhead resistance at $18.15 to $18.73 with high-volume. Look for a sustained high-volume move and close above those levels that are near or well above its three-month average action of 147,525 shares. If we get that action soon, then ORIG could easily spike above $20 a share very quickly.

One could look to be a buyer of ORIG off any weakness and simply use a stop at around $16.50 to $16.36 a share, and simply anticipate the future breakout. You could also buy off strength and get long once $18.15 or $18.73 is taken out with volume.

To see more breakout candidates, check out the Breakout Stocks of the Week portfolio on Stockpickr.

-- Written by Roberto Pedone in Winderemere, Fla.


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 and maintains the website, 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.
6 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
ELN $0.00 0.00%
ISRG $508.42 0.22%
NOV $27.58 -2.90%
ORIG $0.82 -11.00%
TNP $5.10 -3.00%


Chart of I:DJI
DOW 16,014.38 -12.67 -0.08%
S&P 500 1,852.21 -1.23 -0.07%
NASDAQ 4,268.7630 -14.99 -0.35%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs