Sounds like a good deal Ron. I looked at the charts for BSN, and it looks like a run is possible. Crossing its 50-Day was a big hint, but the fact that literally blasted through that average is significant and a bullish indicator. It hit 27, then fell back to 24, but did not come close to violating its 50-Day. The volume at both times were markedly higher than normal, and proceeded to boost BSN upward (another bullish sign)
This URL is for an ok chart I found of BSN...
dbc.com
From there it began to march back up to 29 1/2 (its intraday high I believe today). I don't see any reason for significant resistance at the 30/share level. In mid-late Feb, BSN couldn't quite stay above 30 for more than a few days, then tanked all the way to 17. Though before the high of 34 earlier in the year, the stock seemed to have trouble breaking the 30 level, however BSN has not tested this level enough to make a 100% analysis.
If BSN breaks 30, and holds it or continues higher, there may be some near-term consolidation at 30, but a strong chance at a move to test its old high of 34.
I have not examined the possibility of hitting 40, but if earnings remain strong, and above wall street expectations, anything is possible. But it seems as if we have a good shot at hitting 34 if it hits and holds at 30. I am not jumping in yet, but if the 30 level is broken, and on strong volume, I think that there is good short term appreciation possible. Remember that these are only my interpretations of the charts... and I am by no means a professional :)
good luck,
geoff |
