NEW BULLISH Plays

eBay Inc. - EBAY - close: 31.76 change: +1.09

Stop Loss: 29.49
Target(s): 34.90, 39.00
Current Gain/Loss: unopened
Time Frame: 4 to 6 weeks
New Positions: Yes, see trigger

Company Description

Why We Like It:
After a four-week correction shares of EBAY are finally bouncing from support near $30.00 and its 100-dma. The stock was outperforming today with a +3.5% gain and a close just over its 50-dma. Shares look ready to resume their longer-term up trend.

I am suggesting we wait for a little dip and buy EBAY at $31.25. If triggered at $31.25 we'll use a stop loss at $29.49. Our first target is $34.90. We do not want to hold over EBAY's late April earnings report.

Trigger @ 31.25

Suggested Position: Buy EBAY stock @ $31.25

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Annotated chart:

Entry on March x at $xx.xx
Earnings Date 04/27/11 (unconfirmed)
Average Daily Volume: 10 million
Listed on March 24th, 2011