Picture Perfect Breakout
You couldn’t ask for a better example of a breakout
from an ascending triangle than the one that Verisign gave us.
I can’t say whether there will be follow-through to the upside, but the ingredients
are there in Verisign
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VRSN |
Quote |
Chart |
News |
PowerRating)
You had a sharp increase in volume that occurred on Wednesday’s
up move. That was followed on Thursday by an even greater volume surge
accompanied by a decisive looking breakout above top of the triangle. I say
decisive because, 20 minutes before the close, VRSN is looking to close near its
highs of the day. If that happens, two possibilities arise. You could see an
extended follow-through toward VRSNs old highs. Or, more likely a pullback that
would test the broken resistance level to see if it becomes support.
Tomorrow,