Playtech security is close to an area that might stop the downward trend.

The online gaming software provider displays interesting profitability and valuation levels. The margins are significants and the P/E ratio is weak. Nomura and UBS raised recently their target price, taking a buying opinion.

From a technical viewpoint, the trend is neutral in the mid term. The security is trading between GBp 605 and GBp 670. The latest downtrend pushed the security upon contact with important levels, in both long and mid-term. These supports, respectively around GBp 600, could stop the bearish trend of these last days, and allow a technical rebound.

Ideally, investors will take a long position nearby the GBp 590 support currently tested, in order to benefit from a possible reversal. The GBp 670 is the first goal. This strategy should be covered by a stop loss placed under the GBp 579 support because a breakdown of this level would invalidate it.