Vipshop Holdings has still an uptrend and is going toward its highest level.

The company’s fundamentals are still strong. Sales are expected to rise by more than 95% in 2013 and almost 49% in 2014. Analysts from Thomson Reuters consensus have revised largely upward their EPS estimates and the price target has recently been increased.

From a technical viewpoint, the security is trading in a bullish trend in the short and the long term. Increasing moving averages let think there will be no reversal in the coming trading sessions. Moreover, prices are now on the lower bound of the bullish trend line, which is an optimal entry point.

Therefore, taking into account the strong fundamentals and technical patterns, it seems opportune to take a long position at the current price in order to benefit from a possible reversal. The first target price is the USD 28.4 resistance. A stop loss will be fixed under the USD 22.7 short term support, threshold that would invalidate this trading strategy.