Breakout Stocks

Astral Poly has broken out from a very good consolidation pattern and is poised to go higher in the coming days. The stock has been in an uptrend though the last decade really and the fresh breakout only adds to our conviction that the stock is poised for much higher levels.

The current pattern from which the stock has broken out is called the Head and Shoulders continuation pattern and this is generally seen in the stock which after an uptrend halt and take a breather, before continuing to move in the direction of the trend prior to the consolidation. Also note the volumes on the breakout, they are pretty high and this adds to our conviction that the breakout would sustain and eventually we would see much higher levels in the stock.