SWI

I especially like IPO breakouts. Solarwinds Inc (SWI) has tried to breakout twice since it's IPO in 2009. The third time may be the charm.



It has a cup shaped base here. It is possible that it puts in a handle or just breaks out from cup without handle base.


SWI has quarterly earnings growth of 73% and sales growth of 32% (both accelerating). Also, a very impressive ROE of 208%. It appears that institutional sponsorship is growing. However, it only trades 450,000 shares a day so it is a tad on the thin side to be considered institutional quality.

The proper pivot point would be $23.77. Keep in mind it reports earnings on 4/28/10.