3 Breakout Beauties to Buy – GPRO COST ABBV

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breakout stocks - 3 Breakout Beauties to Buy – GPRO COST ABBV

Source: Mike Mozart via Flickr (Modified)

Stocks are breaking out across the board today, and size matters not. The large-cap laden S&P 500 is popping to new highs as well as the small-cap focused Russell 2000.

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The bulls couldn’t have scripted it any better. Last week’s pause allowed equities to digest their recent gains while setting the stage for further upside. And with this morning’s pop, it appears the next leg higher may be upon us.

Breakout setups are a staple for active traders, as they signal a low-risk opportunity to climb aboard uptrends. Once a stock is finally able to muster the strength to breach resistance, we often see upside follow-through as short sellers run for cover and sidelined bulls pile on.

Traders scouring the landscape for breakout stocks over the weekend were greeted with more than a few beauties. I’ve selected three of the best for today’s missive.

3 Breakout Stocks to Buy: GoPro Inc (GPRO)

3 Breakout Stocks to Buy: GoPro Inc (GPRO)

Source: OptionsAnalytix

GoPro Inc (GPRO), long since left for dead, is rising once more.

Spurred by recent earnings that were slightly better than expected, GPRO stock has been on the mend. Since carving out a 52-week low at $8.62 in May, shares are up 80%. The rousing resurrection has ushered GPRO back above all its moving averages, and that’s saying something.

It’s been a year since the action camera manufacturer sat above the 200-day moving average — and back then shares were north of $50.

Last week’s pullback is being bought with aggression here. GPRO is up over 8.5% this morning making it one of the best-performing stocks in the market. With near-term resistance a stone’s throw away, consider GPRO a prime breakout stock.

Buy shares over $15.

3 Breakout Stocks to Buy: Costco Wholesale Corporation (COST)

3 Breakout Stocks to Buy: Costco Wholesale Corporation (COST)

Source: OptionsAnalytix

Next up, we have Costco Wholesale Corporation (COST), the king of bulk buying.

COST stock has been on a tear for years now. After last month’s moonshot, shares have been coiling nicely just beneath all-time highs. Persistent demand is bound to deliver a breakout in the near future.

The high base developing over the past six weeks is a thing of beauty. Any and all selling sorties have been snuffed out in short order. And now that the 20-day and 50-day moving averages have caught up, the time for a breakout is nigh.

Volume patterns are supporting the bulls here with zero distribution days in recent weeks.

Buy COST stock over $170.

3 Breakout Stocks to Buy: AbbVie Inc (ABBV)

3 Breakout Stocks to Buy: AbbVie Inc (ABBV)

Source: OptionsAnalytix

AbbVie Inc (ABBV) rounds us out with a stellar breakout. The biotech sector has been rocking recently, returning stocks like ABBV back into uptrends.

While AbbVie has yet to reclaim all that was lost during last year’s biotech beating, it’s getting close. With all-time highs a few dollars away and a rousing uptrend now in place, ABBV stock has a great chance of re-testing its prior heights in the months to come.

Last week’s high base in the breakout stock set the stage for today’s pop. Shares of ABBV are a buy here.

At the time of this writing Tyler Craig had no positions in any of the aforementioned securities.

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Article printed from InvestorPlace Media, https://investorplace.com/2016/08/3-breakout-stocks-buy/.

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