“Most retail stocks have seen their share prices decline during the months of April and May as concerns started to build that interest rate cuts would not only get pushed back to 2025, but markets started pricing in the prospect of another rate rise,” Michael said.
“However, with the all the negativity priced in, it has left retailers like JB HiFi (JBH) scope to recover.
“And this is exactly what we are seeing on the share price charts.
“The pullback in JBH from the April peak has seen it come back to the February low and then bounce off it.
“The range then tightened up on lower volumes before it broke out of this small range at the start of June.
“It therefore appears as though a low is in place for JBH and it’s ready to start trending higher again.
“Less negative sentiment around interest rates will only help further fuel the share price recovery,” Michael said.
JB HiFi (JBH)
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