DS Smith continues its rally to test new highs.

From a fundamental viewpoint, the group is in a good financial situation (its leverage amounts to 1.74x). The firm offers an attractive yield (2.96%) and relies on a nice business predictability.

Technically, prices continue to increase sharply for several month. On all time scales, all indicators are green and moving averages are well oriented. The security is now coming closer to its historical resistance located at GBp 409.30 and seem able to breakout soon.

The crossing would indeed provide a strong buying signal, and therefore active investors should open long positions. The first target price is set at GBp 435 , ie a 6 % increase. A stop loss will be fixed below the entry point, a level that would invalidate the strategy.