One more stock that's nearing a major breakout trade is
(CTCM - Get Report)
, which operates three Russian television networks, offering entertainment programming. This stock has been starting to heat up over the past three months, with shares up around 25%.
If you look at the chart for CTC Media, you'll notice that this stock has been uptrending strong for the past two months, with shares soaring from a low of $7.08 to its recent high of $9.81 a share. During that uptrend, shares of CTCM have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed CTCM within range of triggering a major near-term breakout trade.
Traders should now look for long-biased trades in CTCM once it manages to clear some near-term overhead resistance at $9.81 a share with high volume. Look for a sustained move or close above $9.81 with volume that hits near or above its three-month average action of 468,889 shares. If that breakout triggers soon, then CTCM will have a great chance of re-testing or possibly taking out its next major overhead resistance levels at $11.40 to $11.79 a share.
One could look to buy CTCM off any weakness to anticipate that breakout, and simply use a stop that sits right below its 200-day at $9.25 a share, or around some near-term support at $8.96 a share. One could also buy off strength once CTCM clears $9.81 with volume, and then use a stop right below its 200-day.
To see more breakout candidates, check out the
Breakout Stocks of the Week
portfolio on Stockpickr.
-- Written by Roberto Pedone in Winderemere, Fla.
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