Tne final stock that could be setting up for a major breakout is Knightsbridge Tankers ( VLCCF), a company engaged in the international seaborne transportation of crude oil and dry bulk cargoes.
Shares of Knightsbridge Tankers are approaching some previous resistance at around $19.34 a share. If the stock can manage to move above that level, and get above its 52-week high of $19.86, then it will be in official breakout territory. I would consider this move very significant because the stock won't see any significant resistance until it reaches $24 to $26 a share. That leaves room for some very nice upside on a breakout that has lasting power. It's worth noting that on Aug. 12, the company reported an 88% surge in second-quarter revenue that came in at $26.3 million versus $13.9 million a year earlier. Profits also jumped with net income coming in at $13.4 million as compared to $3.1 million for the same period a year ago. This strong fundamental backdrop could help to push Knightsbridge into breakout territory. This is also another breakout candidate that pays a great dividend with the company shelling out $2.00 a share at a 10.70% yield. The payment date is coming up on Sept. 7, so you could get a buying opportunity on any weakness into that event. To see more breakout action in stocks such as VMware ( VMW), Red Hat ( RHT) and Banco Frances Del Rio SA ( BFR), check out the Breakout Stocks of the Week portfolio on Stockpickr.