Countrywide could take advantage of the 20-day moving average and reach its GBp 686.5 resistance in the coming sessions.

From a fundamental viewpoint, the company shows some qualities. In fact, growth perspectives are good with a profit which is expected to double in 2014. Margins are also expected to sharply grow. Finally, the Thomson Reuters consensus revised regularly upward EPS estimates of the company for the current year.

Prices are up for several months and recently test new highs. The movement should continue in the coming trading sessions. The 20-day moving average should help to come back on the GBp 696 long term resistance. A crossing of this level will open new targets.

Therefore, taking into account the strong fundamentals and technical patterns, it seems opportune to take a long position at the current price in order to benefit from a return to GBp 696. A breakout of this level will be a new bullish signal for higher target price. A stop loss will be placed at GBp 648.