Supergroup could regain its upward trend after having run out of steam.

According to Surperformance ratings, the group has strong fundamentals, both in terms of business predictability and valuation.

Technically, the uptrend in the medium and long term should protect the stock of a major downtrend. In the short term, a decline led the share to the GBp 663.5 support, corresponding to the 100-day moving average and a bullish trend line. Therefore, a technical rebound will fix an objective near the GBp 736.5 short-term resistance.

The decline observed in the short term offers an interesting entry point for a mid-term investment. Investors will take advantage of the current area to buy Supergroup. The objectives will be set at GBp 736.5 and by extension GBp 790. The stop loss will be triggered below the GBp 663.5 support.