International Paper Co. is a New York corporation, incorporated in 1941 as the successor to the New York corporation of the same name organized in 1898. The Company is a global forest products, paper and packaging Company that is complemented by an North American merchant distribution system, with primary markets and manufacturing operations in the United States, Europe, South America and Asia.In the United States at December 31, 2005, the Company operated 23 pulp, paper and packaging mills, 93 converting and packaging plants, 25 wood products facilities and six specialty chemicals plants. Production facilities at December 31, 2005, in Europe, Asia, Latin America and South America included eight pulp, paper and packaging mills, 55 converting and packaging plants, two wood products facility, two specialty panels and laminated products plants and five specialty chemicals plants. The Company distributes printing, packaging, graphic arts, maintenance and industrial products principally through over 270 distribution branches located primarily in the United States. (Source: Bigcharts)

International Paper (IP:NYSE) is my new favorite play. Not only am I getting a buy signal on the MACD and DMI indicators, but this security is just beginning to break out of a 9-month symmetrical triangle candlestick pattern! That is quite some time to be consolidating.

Now it appears as though the bulls have taken control. I am anticipating a jump up into the low $40s range sometime within the next 4-8 months. In my opinion that’s a decent return for a minimal amount of risk.

Our Recommendation: buy shares of International Paper (IP) at or near $35.86 and place a 5% stop loss below your purchase price.