Drax Group continues its bullish trend in order to test new highest level.

The economic and financial situation of the company is still strong. The group has a positive treasury, sign of a healthy situation. In addition, the consensus revised upward EPS estimates for this year and that let see a great potential for the security on the stock market.

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. This growth should help to reach soon the GBp 758 long term resistance.

Therefore, taking into account the strong fundamentals and technical patterns, it seems opportune to take a long position above the trend line. The first target price is the GBp 758 resistance. A breakout of this level will be a new bullish signal for higher target price. Once the trade is opened, a stop loss will be placed under the GBp 702.5, threshold that would invalidate this trading strategy.