Reed Elsevier continues its bullish trend in order to test new highest level.

The company’s fundamentals are still strong. Analysts from Thomson Reuters consensus have revised sharply their EPS estimates upward. The last EPS was at EUR 0.59. The financial situation is healthy and the debt decrease year after year.

Technical patterns are showing positive signs : prices are up for several months. The reversal should continue in the coming trading sessions. The 20-day moving average should help to reach the EUR 11.6 long term resistance.

In consequence, investors can take a long position in Reed Elsevier with a first target price at EUR 11.6. This level is the long term resistance. A new bullish trend could lead the security toward its highest level in case of breakout of this resistance. A stop loss will be fixed under the short term support at EUR 10.35.