Wednesday's tip on UK-Analyst is from TopSpreadBets.com

578 Days ago (2010-07-07 11:46:17)

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Open A Open A Buy Bet In The PartyGaming Rolling Spread

Says TopSpreadBets.com

The Bet: We recommend opening a buy bet in the rolling PartyGaming (PRTY) spread at GBP20 a penny when the quote is standing at 238p - 240p. The target is 275p initially and the stop loss is 209p for a risk of GBP620 at our suggested wager.

The Fundamental View: We were backing a buy bet in the PartyGaming rolling spread on the basis that today revenues came in line with previous guidance despite negative distraction effects due to the World Cup. This 28% year on year increase was helped by the acquisitions of Cashcade and the World Poker Tour and continued strong growth in casino gaming.

While poker revenue is expected to be down between 11% and 13% quarter-on-quarter, the company's promise to be a part of any forthcoming sector consolidation and the recent share price decline mean we are returning to buying PartyGaming at a lower entry price than before.

Open a buy bet in PartyGaming on the basis of a resilient trading update.



The Technical View: We are recommending a buy bet in the PartyGaming rolling spread on the basis of a likely bear trap below the November intraday support just above 210p. The view now that this bounce has happened is we could still see a follow on reaction towards the black 200 day moving average at 275p, even if the recovery fades soon after.

Open a buy bet in PartyGaming on industry consolidation hopes.

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