Bank of America
Finally, I want to take a minute to recap the Bank of America (BAC) trade from last week's column. BofA is another name that's been rallying hard in 2012, taking advantage of oversold conditions at the start of the year to propel its shares now that Mr. Market has become a bit friendlier to the financial sector.
Last week, we were looking specifically at the breakout shares made above the top of their consolidation channel at $8.25. The bottom line was that "even though this stock has made some big moves in the last week, it's still a buyable name." Since then, shares have climbed another 12.6% for buyers who decided to buy the breakout.
If you still own shares at this point, BofA is still looking strong. While investors should expect BAC to pull back along with the rest of the market this morning, a test of the psychologically important $10 mark could be big. Squeamish traders should unload on a break below $9.50.Bank of America shows up on recent lists of 5 Best Bank Stock Ideas from JPMorgan and 5 Cheap Bank Stocks With a Strong Earnings Future. To see this week's trades in action, check out the High Volume Technicals portfolio on Stockpickr. -- Written by Jonas Elmerraji in Baltimore.
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