Cooper Tire & Rubber is on a bullish trend and could reach its USD 38.25 resistance.

The company shows strong fundamentals. Firstly, the security is undervalued compared to its peers with an EV/Sales ratio estimated at 0.58 by the Thomson Reuters consensus for this year. Moreover, analysts revised upward EPS estimates for this year and that let see a great potential for the security on the stock market. The consensus regarding the target price is optimistic and targets USD 41.5.

Technical patterns are in the green: prices are up for several months. The stock evolves in a bullish trend on all time scales. The movement should continue in the coming trading sessions. Supported by increasing moving averages on both daily and weekly data, prices are liley to reach the USD 38.25 long term resistance.

For reasons above exposed, investors could benefit from the upward trend on Cooper Tire & Rubber by opening long positions. A first target could be set at the USD 38.25 and new bullish aim could be further reached. The return under USD 33.1 would invalidate the recovery scenario and trigger the stop-loss order.