Blue lines- bullish RSI divergence
Purple line -resistance
NKE stock price provided last week a bullish reversal signal. There are increased chances that a low is in and price will be moving higher this week. Price has exited a downward sloping wedge pattern. Also the RSI has provided bullish divergence signals. The combination of the bullish RSI with the break above the purple resistance trend line, increase the chances that a low is in. Price has also started making higher highs and higher lows. At $104.55 we find key support that bulls need to defend. As long as price is above $104.55, we remain bullish NKE expecting price to move towards $130-$132.
