Getting a Rise in Dick’s for the Holidays

• Posted by Greg Harmon
• on December 18th, 2014

Get your head out of the gutter. Dick’s Sporting Goods, $DKS, is a spot where many people go to shop for the Holidays. My kids love anything from there. But the stock itself may be a better gift to give your loved ones this year. With the gains they can go buy their own presents.

The chart above shows the price action in the stock over the last year. Notice that after a weak report in May it gapped lower and has not yet recovered. But heading into the end of the year the stock is right back at a resistance zone, this time from a higher low. And as it hits that resistance area the RSI is rising and bullish, while the MACD is about to give a buy signal, crossing higher.

A move into and above the zone would carry a target on a measured move to about 56.40. That is better than 10%! I am sure your loved ones will appreciate that.

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