30th Apr 2020. 8.29am

Regency View:

CLOSE – Churchill China (CHH)

Regency View:

Churchill China (CHH) – Close at 1,460p

Like Johnson Service Group, Churchill China is a high-quality play on the hospitality sector – a sector which is suffering possibly irreparable damage from the pandemic.

We have been patient enough to wait for a bounce which has seen the shares rally more than 135% from their March lows.

With volatility contracting the shares now look vulnerable to further selling pressure. We believe the timing is right to close our position.

CHH 10-Month Candle Chart

CHH 10-Month Candle Chart

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