THE TIPSTER
THE US car giant Ford is due to give a trading update tomorrow. Its stock has rallied over 50 per cent in 2010 thanks to optimism that quantitative easing will prevent a double dip and people will keep buying cars. It was only two years ago since the stock was trading at $3 and looking close to going bust. Now, the uptrend still looks firmly intact. Capital CFDs quotes a price of $15.92-$15.95 for Ford.
Travel operator Thomas Cook updates the market with earnings news tomorrow with figures of around £394m expected. Its shares have underperformed the FTSE by over 20 per cent in 2010, but they may be worth picking up at prices of around 180p-190p. If it can climb past the 150-day exponential moving average at 195p then we might see it head back towards 220p. Spread Co offers a spread on Thomas Cook Group of 188.7p-189.3p.
The UK’s largest listed water utility United Utilities might be worth considering. The company’s share price has retraced to its previous resistance level around the £6 mark and yesterday’s decline could well present a buying opportunity. The previous resistance should now be a good support level. Capital CFDs quotes a price of 601.6p-603.4p.
After the punishing run lower for shares in Dixons Retail through 2007 and 2008, the recovery has been somewhat painful for the group. Its online sales seem to be falling despite some astounding claims from Visa about the scale of UK online shopping. With the Christmas shopping season well and truly underway, the company must be hoping for some festive cheer in the weeks ahead. A campaign of store reformatting is also underway but the lower overheads of the pure-play online retailers are always going to pose a threat. IG Markets offers a spread on Dixons Retail of 26.35p-26.39p.