NKE – Nike Inc. Cl B

Nike Inc. (8/25/15) Short-term (Positive) : Intermediate Term (Positive) : Long-term (Neutral) After a significant 2nd quarter contraction, Nike has rounded out a nice 3-month base pattern. It has even shown signs of being more than a counter trend move, in that it recently topped the mid-July peak, its 200-day moving average, and challenged the April resistance area. It is a bit extended on a day-to-day basis, but the indicators are turning up. A pullback, even to 57, would be opportunistic, as long as we hold above 56. Given the up-trend of late, we would consider calling the short-term positive, and even the intermediate-term positive, with an eye on closing the gap at 64.90. If the August "test" of the June low of 54.28 is violated, then the intermediate term would be in question. Long-term, Nike is in the middle of the 12-month range. While we expect it to challenge the highs, it will take time and more development of the chart to consider the long-term trend bullish. nke