- New Trades -
Teck Resources - TCK - close: 34.85
Why We Like It:
TCK is a diversified mining, processing, smelting, and refining metals company providing products and metals including zinc, copper, molybdenum, specialty metals, precious metals like silver and gold, and coking coal. TCK even has operations in the Canadian oil sands. The stock has seen a long and painful decline from $65 in early 2011 to under $27 just a few months ago. Looking at the weekly chart it seems that TCK has found a bottom. On a short-term basis the rally this past week has produced a bullish breakout past resistance near $34.00-34.50.
I am suggesting new bullish positions at the open on Monday. More nimble traders may want to try and buy a dip near $34.00 if we see one. I am suggesting a stop loss at $31.75. Our long-term target is $44.00. More aggressive traders could aim higher. The Point & Figure chart is bullish with a $49 target. Investors should also be aware that TCK has a dividend coming up and will begin trading ex-dividend on Dec. 12th. The dividend should be about 23 cents.
- Suggested Positions -
DEC 10, 2012 - entry price on TCK @ --.--, option @ -.--
symbol: TCK1418a40 2014 JAN $40 call - current bid/ask $ 3.05/3.20
Chart of TCK:
Current Target: $43.75
Current Stop loss: 31.75
Play Entered on: 12/10/12
Originally listed in the New Plays 12/08/12