NEW BULLISH Plays
Vodafone Group - VOD - close: 19.52 change: +0.22 stop: 18.85
Why We Like It:
VOD looks like an aggressive buy right here. The stock is bouncing from the $19.00 level, which happens to be the middle of its trading range or the 50% retracement of its $18-20 rebound. This time VOD has additional support at its simple 200-dma near $19.00. The stock looks like it's setting up for a breakout over $20.00, which has been resistance the last two months. I consider this an aggressive buy under $20.00. More conservative traders may want to wait for the breakout (consider $20.25 as an alternative entry point). Our first target is $20.75. Our second target is $21.85. The P&F chart is bullish with a $23 target.
FYI: It's worth noting that there are rumors that the company is considering a large acquisition. The Financial Times reported today that VOD might make a bid for Deutsche Telecom's T-Mobile U.K. division allegedly worth $4 to $5 billion.
Entry on June 29 at $19.52
Change since picked: + 0.00
Earnings Date 11/10/09 (unconfirmed)
Average Daily Volume: 4.2 million
Listed on June 29, 2009