These Arches Are Not “Golden”:
The casual dining space which we have discussed in length has had its share of losers. JACK for one, a former leader in the group, is now 38% off its most recent 52-week highs, after slumping more than 10% this week. It was the stock’s second double-digit WEEKLY loss of 2024 after the first week of January lost the same amount. It is down 13 of the last 15 sessions and its fortunes changed after a break below a bull flag with two bearish shooting star candles on 12/19/23 and 1/5. PBPB is now 25% off its own annual peak and could be looked at as good risk/reward after Friday’s spinning top just above the very round 10 number as a double bottom base takes shape with a potential add-on trigger above 12.81. Below is the chart of the fourth largest XLY holding in MCD (twice as big as the company it spun off in CMG which represents 2% of the ETF). On its MONTHLY chart, it is certainly plausible that sometime in 2024 this could trade down toward its rising 50 MONTH SMA.