JJB vs JD.

[darth trader]

Both of these stocks are sitting on long term support/resistance and poised to break out making new highs.

I suspect that they will both go a long way but there is an interesting difference in the charts.

JJB is forming a small flag/triangle formation and JD. has a much larger ascending triangle formation.

Recent news flow suggests to me that JD. will break out in the next few days and I am inclined to prefer this chart on the ground that the consoldiation has formed a more solid base on which to build on.

I would be interested to hear any views on the relative merits of these charts.

Thanks in advance.

 

[Riz]

On the basis of BB analysis I'd go for JD... widened up indicating possible sharp price movements... consolidation following a retracement after a sharp upwards price movement due to upbeat results..thus as you say forming a basis for more upward price movements...still I'd wait for the price to start a new upward movement and get in only after it gets over 340 to promise a retest of 359 resistance...price just touching 10 day MA indicating a possible bounce...also suggesting to watch and see whether it will start to bounce..

JJB however has gone quiet and sideways on top of price range after an upward price movement of about 250 points...BBs narrowed down, MAs flat..can't see signs of another sharp upward movement..looking like it needs to be watched for a long while before making plans on it...

Riz

 

[Riz]

This quote from ctywire on JD. results need to be kept in mind while assessing the chart and signals:
"Retailer John David Sports has lived up to expectations by reporting like-for-like sales growth of 9% and pre-tax profits 35% ahead in the year to March.

Comparable sales are still running 5% higher than 12 months ago, JD Sports added, as brand conscious consumers pick from an ever-widening range of products.

...However you look at the figures, they are positive: turnover up 19% to £204.5 million, operating profits up 28% to £16.9 million, pre-tax profits up from £12.2 million to £16.5 million and the final dividend up from 4p to 4.6p.

Executive chairman John Wardle and buying and merchandising director David Makin have responded to institutional demand and the desire to improve the liquidity of the stock on the day it published impressive results.

Wardle sold 3.1 million shares at 330p, raking in a whopping £10.25 million in the process, while his family trust also got in on the act selling 165,000 shares at 330p to bank a further £545,000. Wardle’s holding is now reduced to 13.05 million shares or 27.92% of the £160 million company. "

Riz

 

[darth trader]

re: institutional demand - I notice that WYG, BED and HCS have all been doing tbe same recently. It can't be long before CKN follow suit too (IMO).

JD. is on my potential buy list for next week.

 

[izzie]

jd sports

good article in todays (sat 2 jun) times; basically good prospects.
see it on their website www.thetimes.co.uk

 

[darth trader]

thanks izzie, I'll take a look. Sounds like a well timed piece of publicity that will be accompanied by a price movement on monday!

 

[darth trader]

JD. failed to show today - may be this is a premature breakout and we'll drop back to 300p before making progress...

 

[Riz]

Yes, retraced -7.5 (-2.2%) to 331...on a very thin volume (70,414) however...

Riz

 

[darth trader]

JJB released encouraging news today:

http://www.advfn.com/cmn/news/newsmona.php?article=1341989&epic=JJB

resulting in a fine breakout with a gap on good volume.

It looks good for a measured move up.

Target 1050p?

 

[Riz]

JD. is coming back up, determined but no big volume yet... 360 needs to be broken over on proper volume to prove further big upward potential...still worth watching..you in Darth?

Riz

 

[darth trader]

still watching but very caustious about the state of the market...

 

[darth trader]

An Inspector Calls

The price police called on JJB Sports this week and they have issued a strong denial of being involved in price fixing.

http://www.citywire.co.uk/textSearchList/default.asp?vid=33891&page=1&sst1=jjb&sst2=