Company Description: Domtar Corporation engages in designing, manufacturing, marketing, and distributing uncoated freesheet paper; papergrade, fluff, and specialty pulp; and lumber and wood products in North America. The company operates in three segments: Papers, Paper Merchants, and Wood. The Papers segment offers business papers, including copy and electronic imaging papers, which are used with ink jet and laser printers, photocopiers, and plain-paper fax machines, as well as computer papers, preprinted forms, and digital papers. It also provides commercial printing and publication papers, including uncoated freesheet papers, such as offset papers and opaques, and coated groundwood used in offset presses and digital printing; and publication papers comprising tradebook and lightweight uncoated papers used in book publishing applications, such as textbooks, dictionaries, catalogs, magazines, hard cover novels, and financial documents. This segment also offers converting and specialty papers, which consist of base papers that are converted into finished products, such as envelopes, tablets, business forms, and data processing/computer forms. It sells papers to paper merchants, office equipment manufacturers, stationers, retail outlets, commercial printers, converters, and end users. The Paper Merchants segment offers business, printing and publishing papers, and industrial products to small, medium and large commercial printers, publishers, quick copy firms, catalog and retail companies, and institutional entities. The Wood segment manufactures and markets lumber and wood-based products, as well as manages forest resources. The company is headquartered in Montreal, Canada. Domtar Corporation operates independently of Weyerhaeuser Co. as of March 7, 2007.

Our Analysis: The shares of Domtar Corporation 'UFS' set a new yearly closing high on heavier than normal trading volume. This is a bullish trading signal. In the process the shares of 'UFS' completed a "cup pattern" with a measured move to our stated price target of $53.84/share. I see downside support on the shares of 'UFS' @ $45.56/share, and have set my stops accordingly @ $45.11/share.