John Wood Group PLC : An appropriate purchase level
December 24, 2012 at 07:50 am
By
Entry price | Target | Stop-loss | Potential |
---|
GBX 739.5 |
GBX 0 |
GBX 709 |
-100% |
---|
John Wood Group shows relatively strong fundamentals and is coming back to attractive price.
According to Surperformance rating, the company is an opportunity for a trading strategy. Indeed, it is a good compromise between its value and its visibility.
The stock is coming back close to an important support (GBp 716.5) and a slant.
Moving averages are downward oriented and technical indicators illustrate the oversold situation. The GBp 716.5 area could cause a positive reaction for the coming trading sessions and allow a technical rebound towards the GBp 775 mid-term resistance and then the long-term target price is GBp 815.
Therefore, the proximity of the GBp 716.5 support is an opportunity to take a long position in John Wood Group. The first goal is a return in the GBp 775 resistance area, that is a potential of 4.8%. In fact, the security has to cross this area in order to re-establish a bullish trend in the short term. A stop loss order can be placed under the support currently tested.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.