Entertainment One could exceed the symbolic threshold of GBp 225.

From a fundamental viewpoint, the group is in a good financial situation. Sales are expected to increase by 32.7% on the current year. Analysts widely revised upward in recent times their earnings per share estimates for 2015.

Graphically, the security is up 33% since the 1st January. It seems able to continue this uptrend supported by moving averages and will soon test the GBp 225 mid-term resistance. We anticipate a crossing of this level, given the upward orientation of the stock in the medium and long term. Above GBp 225, a buy signal will be given.

Therefore, investors could take a long position in Entertainment One, on crossing of the GBp 225 mid-term resistance, to target the GBp 235, corresponding to the bullish trend line. A stop loss should be placed at GBp 221.