JEF, Jefferies Group Inc.

This firm got caught up in the MF Global debacle but today’s reported earnings were better than expected, giving the stock a little boost, which might become a lot bigger. Here are the charts;

jef 2011

No EW here, just a straight line to show where we are in the context of the past 11 years. Short term charts support the idea that we might get a turnaround of some measurable proportions soon;

jef m 2011jef s 2011

In the worst case we are in a wave 4 that should take us to around $16+, perhaps even $18. Higher levels are possible but I cannot figure out a count that fits well. The stock trades at a of 9 or so and actually has a yield of 2.4%. Use a stop at around $11.