Long Position on SODA @ $44.50 on 12/27/2012 (Momentum)

Cup & Handle on SODASodaStream International (SODA) engages in the development, manufacture, and marketing of home beverage carbonation systems that enable consumers to transform ordinary tap water instantly into carbonated soft drinks and sparkling water.

It offers a range of soda makers; exchangeable food-grade carbon-dioxide (CO2) cylinders and refills; reusable plastic (BPA-free) or glass carbonation bottles; and approximately 150 flavors comprising regular or diet, such as cola, lemon-lime, orange, a range of all-naturals, fruits, green teas, energy, mixers, Stevia-sweetened, and others.

It sells its products through approximately 60,000 retail stores in 45 countries in the Americas, Europe, Middle East, Africa, and Asia-Pacific. In addition, it distributes Brita water filtration systems and other consumer products in Israel. The company sells its products under the SodaStream brand directly and through local distributors to retailers, as well as over the Internet.

Shares have formed a bullish "cup & handle" and are in the process of moving higher out of this formaiton.

52-Week Trading Range:  $28.28 - $48.13

Entry Point:  $44.50

Stop Loss:   $42.27

Target Price:   $48.95

 

 

Position closed on 1/7/2013 at price of $49.31 with a 10.81% gain in 11 days.

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