Long Position on KING @ $19.10 on 8/12/2014 (Momentum)

King Digital Entertainment plc (KING) is an interactive entertainment company.

The firm develops and publishes casual games on digital platforms. The Company makes casual games, which appeal to a wide and growing audience. Users access its games for free anywhere and anytime they wish to, either on their mobile devices, through social networks or via its Website, king.com.

The combination of wide game appeal, accessibility, and its multi-platform capabilities enables to attract a broad user base, foster viral growth, and create a compelling, fun and social experience.

The Company operates in developing and monetizing casual online and mobile games. As of December 31, 2013, the Company had a massive network of 324 million monthly users.

The company offers its games in a tournament format through its royalgames.com Website, as well as on mobile and social platforms, such as the Apple App Store, the Google Play Store, Facebook, the Amazon Appstore, and KakaoTalk.

Shares have formed a bullish "flag" when the "quiet period" following its recent IPO expired, and several brokerage houses upgraded the stock.  Note that the formation is being supported by the stock's 50-day moving average (shown in red). Higher share prices are expected for this stock. Note that the firm reports its quarterly results this week.

52-Week Trading Range: $15.26 - $23.48

Entry Point: $19.10

Stop Loss: $18.14

Target Price: $21.01

Updates

8/13/2014 9:48:12 AM

KING fell below our stop loss. Closed at $14.

Position closed on 8/13/2014 at price of $14.00 with a -26.70% loss in 0 days.

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