Lumber Liquidators, the largest specialty retailer of hardwood flooring in North America presents strong arguments for a continuation of the bullish trend.

The company listed on the NYSE announced financial results for the first quarter of 2013 better than expected. Net sales increased by 22.5% to $230 million and net income increased by 92.5% to $16 million. The group raised full year outlook, that is to say the opening of 25 to 35 new store location. Besides, they expect an EPS in the range of $2.10 to $2.35.

Prices are up for several months. However, in the short term stock should come back on the USD 74 short term resistance. At this point, the 20-day moving average could give a new bullish impetus to the security.

Therefore, taking into account the strong fundamentals, it seems opportune to take a long position near the USD 74. The first target price will be fixed at USD 82.6. A stop loss will be set at 71.3.