Digging Into a New IPO

Initial public offerings (IPOs) have their hits and their misses. So far this year, there have been a lot of hits -- at least initially. Two that most recently come to mind are Tableau Software (DATA) and Gigamon (GIMO). While both of these securities have fallen back over the past two weeks, it's the action that took place before their recent peaks that I wish to draw your attention to.

Both Tableau Software and Gigamon experienced strong rallies out of their initial IPOs. Afterward, they both pulled back before bouncing again slightly and then congesting. These congestions were what had caught my eye as trading opportunities, allowing me to catch strong swing trade breakouts in both securities before they ran to new highs on the year. (I wrote about Tableau on June 27 on Real Money Pro.)...352 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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