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Dynamic Breakout Should Propel Goldman Sachs Higher

On a day when most stocks took a breather, GS hit a new high


Goldman Sachs (GS) — This recently added Dow 30 component is one of the world’s leading investment banking and securities firms. S&P estimates it will earn $15.50 per share in 2013 and $16 in 2014. It has a 12-month price target of $180.

On a day when most stocks took a breather, it is sometimes valuable to note those that broke to new highs. Not only did GS break out, but it accomplished it following six months of consolidating within a bullish rectangle. This is a dynamic breakout that should propel GS to a trading target of $180 in the short run instead of 12 months.

Currently trading at just over 10 times 2014 estimated earnings, the six-month trading target is $190. Buy GS as a short- and intermediate-term trade.

GS Stock
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Chart Key

Article printed from InvestorPlace Media, http://investorplace.com/2013/12/trade-day-goldman-sachs-gs/.

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