Weight Watchers Spikes To Highest Level In 6 Months

Weight Watchers International, Inc. WTW shares are trading higher by $2.24 (22 percent) at $13.32 in Wednesday's session. There is no specific news to account for the rally.

Oprah Winfrey posted an updated from her Twitter account Tuesday night, highlighting how much using Weight Watchers has worked out for her. Investors may be anticipating that many people will include going on a diet as one of their New Year's resolutions.

A technical breakout may also be attracting momentum traders. Over the last three sessions, the issue had formed a triple top, with all three highs between $11.61 and $11.64. When that level was breached early in today's session, aggressive buyers easily pushed the issue through the remainder of the $11 and $12 handles.

So far, the issue has reached $13.25 and has not backed far off that level. If the rally continues, there may be additional at resistance its June 23 high ($13.55) as well as its June 21 high ($13.75).

Image: aphrodite-in-nyc, Flickr