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Zak Mir sees support for Diageo shares and could rally

Published: 06:15 01 Dec 2016 EST

Chartist Zak Mir sees support for Diageo plc (LON:DGE) and he reckons the price can rally.

In a Tip TV segment for Proactive Investors the technical analyst says the support for the shares comes in the ‘£20 zone’.

“So basically, as this chart stands, you would probably be a buyer on a technical basis towards the £19.80 level.

“I’d like to see a break back above the 200-day average, so £20.15 is my buy signal and then I’d be looking for a rally over the next month or so back towards the 50-day average of £21.24.”

Mir adds however that having a stop loss, he says below about £19.50, would be critical.

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