NEW BULLISH Plays
Ternium S.A. - TX - close: 39.58 change: -0.23
Stop Loss: 35.85
Target(s): 43.00, 45.00
Current Option Gain/Loss: unopened
Time Frame: 12 to 14 weeks
New Positions: Yes, see trigger
Why We Like It:
Steel and metal stocks have been showing lots of strength the last few weeks. As investors bet the improving global economy raising demand for steel. Shares of this European steel maker (based in Luxembourg) have broken out over resistance near $38.00. I am suggesting we buy this stock on a dip at $38.25. If triggered we'll use a stop loss at $35.85. Our targets are $43.00 and $45.00. Keep in mind that it could take several weeks for TX to hit these targets.
FYI: The Point & Figure chart for TX is forecasting a bullish target of $48.
Buy-the-Dip Trigger @ $38.25
Suggested Position: Buy TX stock
Note: TX does have options but the spreads are horrendously wide so I'm not suggesting any calls on this trade.
Entry on December xx at $xx.xx
Earnings Date 02/23/11 (unconfirmed)
Average Daily Volume: 295 thousand
Listed on December 14th, 2010