Booker Group is trading in a short term bullish trend which could settle for a longer period if prices cross GBp 137.

Fundamentals on the company are strong. Activities are fully enjoying the economic recovery in the United Kingdom and perspectives of growth and profit are encouraging. Sales should progressively rise towards GBP 5 billion by 2016 and net margin will be improved towards 2.5% at the end of the same period. The analysts’ consensus is largely buyer and their average target price offers a 24% potential.

Technically, a strong rebound has been observed since touching the GBp 124 midterm support level. This trend could settle for the long term and the crossing of GBp 137 will be a buying signal for investors interested by the stock.

Thus, long position could be taken above GBp 137 with a target set at GBp 145/150. However, a stop loss will be placed under the entry points, protecting from any downward movement.