Hey guys, these are my thoughts on DKS:
So as you can see there is a long support line and the stock bounced at it today. Both in march and april of 2016, this support acted as a nice resistance line and then a few months later , the stock broke out of that resistance for a huge run. Early in 2017, the stock came back at that support and bounced for a nice gain, then the stock broke out on the downside and not too long after, it broke out again and now retest at that support line and this is where we are today. There is a nice flag pattern and the volume is high so there is interest for a possible move on the upside for the upcoming month. If the stock broke out of that strong MA 50 resistance then i will buy the stock. If the stock cant pass over that MA50, then the stock is not strong enough. So the fact that the stock bounced of a huge support line, the fact that there is a nice flag pattern formation and the fact that the sock finished very strong today with good volume are some reasons why i think the stock will go for a nice run but only if the stock can break the MA 50 tomorow morning.
So as you can see there is a long support line and the stock bounced at it today. Both in march and april of 2016, this support acted as a nice resistance line and then a few months later , the stock broke out of that resistance for a huge run. Early in 2017, the stock came back at that support and bounced for a nice gain, then the stock broke out on the downside and not too long after, it broke out again and now retest at that support line and this is where we are today. There is a nice flag pattern and the volume is high so there is interest for a possible move on the upside for the upcoming month. If the stock broke out of that strong MA 50 resistance then i will buy the stock. If the stock cant pass over that MA50, then the stock is not strong enough. So the fact that the stock bounced of a huge support line, the fact that there is a nice flag pattern formation and the fact that the sock finished very strong today with good volume are some reasons why i think the stock will go for a nice run but only if the stock can break the MA 50 tomorow morning.
