Aqua is the provider for regulated water in 11 of the most important states of the United States of America. Its share prices have increased in recent sessions.

Only in 2013, the company improved earnings by almost 12%. Sales on 2014 are expected to increase of 4% as its operating margin rise of 2%. Moreover, revisions on EPS for the last 12 months progressed 67% for 2014 and 69% for 2015. “Surperformance” ratings for this company are encouraging, especially for trading strategies.

The stock recently tested twice the USD 22.6 support, forming this way a double bottom reversal pattern that should now allow it to reach higher levels in the following trading sessions. Thus, the uptrend movement of the last 4 sessions should continue until reaching the USD 27.7 resistance. This positive path would be helped by the 20-day moving average orientation and confirmed with the breakout through the USD 25.6 resistance.

Hence, investors could take long positions in Aqua America if the threshold is broke, this in order to profit from a rise near the USD 27.7 resistance. The stop loss will be placed below the entry point at USD 24.8.