Spectris plc : A technical correction is coming
By Pierre Gilles de la Londe
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 1,979 | GBX 0 | GBX 2,016 | +100% |
From a fundamental viewpoint, analysts have largely downgraded their EPS expectations regarding 2014 and 2015.
Regarding the technical configuration, the stock remains rooted in a bearish trend. Indeed, prices have rebounded on the GBp 2006 resistance and should start a bearish dynamic toward the short term support at GBp 1884.
Therefore, the proximity of mid-term resistance suggests a consolidation or a correction phase in the coming sessions. The most offensive will open a short position at the current price to target a return on the GBp 1884 support. The trade should be protected with a stop loss set above GBp 2006.