NEW BULLISH Plays
Homeowners Choice, Inc. - HCII - close: 23.69 change: +0.31
Stop Loss: 22.90
Current Gain/Loss: unopened
Entry on September xx at $ xx.xx
Listed on September 24, 2011
Time Frame: 6 to 8 weeks
Average Daily Volume = 208 thousand
New Positions: Yes, see below
Why We Like It:
HCII provides property and casualty insurance in Florida. The stock has been an impressive winner this year. Shares could see window dressing as we approach the end of the quarter. Plus, a breakout past resistance at $24.00 could spark more short covering. The most recent data listed short interest at 22% of the very small 8.0 million share float.
I am suggesting a trigger to open bullish positions at $24.10. We'll use a stop loss at $22.90. Our multi-week target is $27.75.
Trigger @ 24.10
Suggested Position: buy HCII stock @ (trigger)