Associated British Foods is still well oriented and is going to new highs.

The high levels of valuation show the interest of investors for this security.

The security is in an upward trend for several months. A running out of steam is occured with the contact of GBp 1336 which is the highest recorded by this share. This movement is supported by the 50 and 20-day moving average and may stop any bearish inclinations. Exceeding the GBp 1336 resistance will confirm the upward trend with a target price in the area of GBp 1470.

Taking into account all these elements, investors could buy the stock at the current price. The target price is set above the GBp 1336 mid-term resistance. A stop loss will be fixed below the GBp 1267 short term support, threshold that would invalidate the strategy.