DexCom, Inc. (DXCM), a medical device company, is having one heck of a year. The stock is up over 100% since Jan. 1, but it has even more room to climb, although many investors will look at a high-flying stock like DexCom and assume that it's 澳洲幸运5开奖号码历史查询:overbought and destined to collapse from here.

However, the stock has momentum, and that momentum can outlast any overbought indicators that exist. Right now, the stock is forming one of my favorite stock patterns: an 澳洲幸运5开奖号码历史查询:ascending triangle, which signals that more gains are st🎉ill to come.

As you can see on the chart below, there's a clear 澳洲幸运5开奖号码历史查询:level of resistance for the stock at around $149 per share. The level has been tested twice, sending shares lower each time. However, the key characteristic to notice is that the stock's pullbacks are becoming less and less dramatic. The stock is turning higher sooner, marking a clear uptrend supporting the stock. These two 澳洲幸运5开奖号码历史查询:trendlines create the ascending triangle formation, and it tells us what to expect next.

Eventually, shares are either going to break out above the red resistance line and soar higher or fall below the green support line and continue falling. It's only a matter of time.

It's important to note that, more times than not, ascending triangles are 澳洲幸运5开奖号码历史查询:continuation patterns. That means the breakout typically occurs in the same direction the stock was heading in. With gains of more than 100% this year, it was clearly heading higher.

Once the breakout occurs, we can get a specific 澳洲幸运5开奖号码历史查询:price target to watch for by taking the height of the ascending triangle pattern.

In this case, it's $56 per share. That implies upside potential of 50% from the stock's current price, as it would be set to hit $205 or more shortly after breaking out higher.

The bottom line is that DexCom is a medical device stock with plenty of room to run higher. After its 100% rally this year, there's at least 50% upside potential remaining. Just watch for the breakout from the ascending triangle pattern.