Three ASX Stocks Positioned for October Breakout Potential
TL;DR
Bravura Solutions, Alumina/Alcoa, and Rio Tinto present breakout opportunities with potential gains up to 70% for traders who act quickly in October 2025.
Wealth Within's trading courses teach structured methods to identify genuine breakouts using technical indicators like volume analysis and resistance levels.
Professional trading education empowers individuals with financial literacy skills that can create long-term economic stability and independence.
Rio Tinto is showing its first major breakout signal in over five years while Bravura Solutions has surged 700% since completing its long-term downtrend.
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October's reputation for market volatility may present significant breakout opportunities for three ASX-listed stocks showing strong technical indicators. While seasonal patterns often make September and October weaker months historically, such pullbacks frequently precede powerful rallies, creating potential for substantial gains for informed traders.
Bravura Solutions (ASX: BVS) has generated market optimism following the announcement of new CEO Colin Greenhill starting in January 2026. The company completed its long-term downtrend in 2023 and has since seen price appreciation exceeding 700%, currently testing the critical $2.50 resistance level. A successful breakout above this resistance could project initial gains of 46%, with further potential upside of 70% or more toward all-time highs. Increasing trading volume confirms buyers are regaining control of the stock.
Alumina/Alcoa Corp (ASX: AAI) demonstrates a remarkable recovery pattern after initially breaking below its IPO price. The stock now approaches its IPO price zone around $53 with the strongest weekly trading volume since listing, coupled with upward price reversals. As part of the materials sector, the company's alumina and bauxite exposure benefits from broader commodity demand tailwinds. A break above current resistance levels could spark rapid expansion with upside potential to $70 or higher, presenting a textbook breakout setup for traders.
Rio Tinto (ASX: RIO), one of Australia's largest companies, shows its first major breakout signal in over five years after frustrating investors with prolonged sideways movement. The mining giant has broken its long-term downtrend for the first time since 2015, with strong support established around $110 and resistance near $135 creating a favorable reward-to-risk ratio. Rising volume accompanies this potential breakout, adding confidence to the technical setup. Rio offers the combination of top 20 ASX status, attractive dividends, volatility, and strong growth potential that could deliver substantial upside if historical patterns repeat.
Professional trading education through government-accredited Trading courses can help investors distinguish genuine breakouts from false signals. For those seeking structured learning pathways, educational resources include the Short Course in Share Trading for beginners and the comprehensive Diploma of Share Trading and Investment. Additional market insights are available through Hot Stock Tips videos and the Stock Market Show in the ASX video library.
Curated from Newsworthy.ai
