I have noticed over the last few weeks there are ALOT! of ascending triangles forming and breaking out on strong stocks in strong sectors. IBM a week popped out of the triangle. What is really cool about this kind is patterns is you can use the base to measure the break out. In this case IBM's base was about $10 and when it broke out 10. This patten doesn't necessarily mean that it will break out to that right away it might take a month or more, but this patterns base shows that it can reach that high.
A couple of other stocks that have done this or are about to are TSO and SWI
TSO was on one of our trade ideas and the buy point was right around 42/43 and it is already half way to its ten dollar target.
SWI is in the the tail end of forming this pattern.
Happy Trading
Brice
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