Greene King

Thursday, 28th June 2018 10:50 - by Rajan Dhall

Looking at the technicals for the pub chain and the paint a good story. The chart below is the weekly chart, but on the daily we are clearly in a uptrend. The reason why I picked a higher timeframe was to look for key support and resistance levels. This week the market pushed the share price though a key uptrend resistance level starting from late 2015. I am sure this was in anticipation of the results today which look to be good.

The company stated 'Pub Company LFL sales +2.2% over the last eight weeks, aided by good weather and sporting fixtures; Pub Partners and Brewing & Brands trading in line with expectations'. The 655p level looks strong and the volume profile shows there is a sticky area at 678p, this is where the most shares have been traded at price. If we can get a clear break through this level with high volume then the sky is the limit for Greene King. Summer is around the corner and pub chains are selling Gin like there is no tomorrow, remember, not only is it the world cup, Wimbledon also starts.  

The Writer's views are their own, not a representation of London South East's. No advice is inferred or given. If you require financial advice, please seek an Independent Financial Adviser.