NEW BULLISH Plays
GlaxoSmithKline - GSK - close: 45.55 change: +0.43
Stop Loss: 44.40
Current Gain/Loss: unopened
Time Frame: 6 to 8 weeks
New Positions: Yes, see below
Why We Like It:
Investors have been buying up the large drug makers with big dividend. GSK definitely qualifies with a 4.8% yield. The stock appears to be breaking out from its two-week consolidation pattern. We want to see a little more confirmation.
I am suggesting a trigger to open bullish positions at $45.75 with a stop loss at $44.40. Our multi-week target is $49.25 (GSK doesn't move very fast).
FYI: The Point & Figure chart for GSK is bullish with a $56 target.
Trigger @ 45.75
Suggested Position: buy GSK stock @ 45.75
- or -
buy the Feb $46 call (GSK1218B46) ask $1.00
Entry on December xx at $ xx.xx
Earnings Date --/--/?? (unconfirmed)
Average Daily Volume = 2.5 million
Listed on December 22, 2011