Another stock that's trading very close to triggering a breakout trade is
(YOKU - Get Report)
, an Internet television company in the People's Republic of China. Yoku's Internet television platform enables consumers to search, view and share video content across multiple devices. This stock is off to a bullish start in 2012, with shares up over 50yo%.
If you look at the chart for Yoku.com, you'll notice that during the last two months and change, this stock has been trading within a sideways pattern between $19.47 on the downside and $25.35 on the upside. On Thursday, shares of Yoku.com started to move back above its 50-day moving average of $23.50 a share with light volume. This move is quickly pushing YOKU within range of triggering a breakout trade above the upper-end of that recent sideways chart pattern.
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Traders should now look for long-biased traders in YOKU if this stock can manage to trigger a break out above some near-term overhead resistance at $25.35 a share with high-volume. Look for a sustained move or close above $25.35 with volume that registers near or above its three-month average action of 2,553,320 shares. If we get that move soon, then look for potential upside in YOKU back towards its March high off $32.75 a share.
I would look to play YOKU off of strength since the stock is trending so close to both its 50-day moving average at $23.50 a share, and its 200-day moving average of $21.37 a share. Look for long-biased trades once it starts to move above $24.84 and $25.35 a share with volume if we get it soon, and simply use a stop just below $24 a share.
As of the most recently reported period, Yoku.com is one of the
top holdings at Lee Ainslie's Maverick Capital
and also shows up in
Blue Ridge Capital's portfolio