5 Huge Stocks Set to Slingshot Higher

AT&T

Last up today is telco giant AT&T (T), a stock that's forming the same uptrending channel as AVB. While AT&T's channel isn't as well tested as AVB's was (it only has bounced five times, vs. nine for AvalonBay), it's still a tradable pattern.

Right now, AT&T is testing trend line support, providing investors with an optimal entry opportunity. But it's critical to wait for the bounce in T before being a buyer. That's because, ultimately, support levels do fail, and when they do you don't want to be left holding the bag. Waiting for a bounce may cost you a couple of points, but it'll indicate that T can still catch a bid at support.

>>7 High-Yield Stocks With Bullish Price Trends

If you decide to take the AT&T trade, I'd recommend placing a protective stop just below the 50-day moving average.

To see this week's trades in action, check out the Technical Setups for the Week portfolio on Stockpickr.

-- Written by Jonas Elmerraji in Baltimore.

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>>5 Stocks Getting Ready to Pay Bigger Dividends

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>>5 Stocks With Big Insider Buying

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At the time of publication, author had no positions in stocks mentioned.

Jonas Elmerraji is the editor and portfolio manager of the Rhino Stock Report, a free investment advisory that returned 15% in 2008. He is a contributor to numerous financial outlets, including Forbes and Investopedia, and has been featured in Investor's Business Daily, in Consumer's Digest and on MSNBC.com.

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