In the past few sessions, J D Wetherspoon shares have suffered from a sharp fall and is now coming back to significant level support.

From a fundamental viewpoint, the security is cheap with a P/E Ratio estimated at 13.5x for 2017.
Besides, EV/Sales is low with a ratio at 0.93x for this year.

Currently, the stock is oversold and, in the mid and long-term, is trading in a neutral trend. In the last trading session, the stock has fall back near to a pertinent support which can be use for a technical rebound. J D Wetherspoon should be able to confirm its increase in the next trading sessions thanks to technical argument (Double-bottom on the GBp 704.5). This support is a trading opportunity in order to anticipate a technical rebound towards GBp 750.

Thanks to the technical pattern and J D Wetherspoon’s strong fundamentals, active investors can open long positions above GBp 704.5. The downside potential is limited and the timing seems perfect to benefit from a technical rebound.
The main goal will be fixed at GBp 750.
However, a bearish trend would regain the upper hand if the security crosses GBp 692.