M&S enjoying a rather welcome change in fortune
According to independent analyst Alistair Strang, the technical picture is more encouraging than it has been for some time. Here's why.
5th November 2026 07:32
by Alistair Strang from Trends and Targets
Marks & Spencer Group (LSE:MKS)’s interim results were warmly received by the market, with its share price seemingly positioned for another attempt at higher ground. The headline figure attracting considerable attention was food sales growth of 13.9%. That's impressive at first glance, although we cannot help wondering how much of this apparent growth owes itself to the rather eye-watering price increases across the food aisles.
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After all, sales growth and genuine volume growth are two rather different animals. Without accounting for inflation and pricing, that impressive 13.9% may tell a rather less exciting story than the market appears willing to believe. Perhaps the real growth is somewhat less spectacular than the headline suggests!
The share price is now exploring territory not seen since the beginning of 2016 and, perhaps more importantly, appears to have broken free from the rather tiresome price malaise that has characterised much of the period since 2024.
This is potentially significant. We are beginning to see the sort of price behaviour that could signal a much more constructive longer-term trend. Whether the market can maintain its enthusiasm is, of course, another matter entirely.
Our positive scenario
A move above 448p would provide the first encouraging signal, with our calculations suggesting an initial upside target of 457p.
Should the share price overcome this level, the longer-term secondary objective comes into view at a considerably more ambitious 514p.
Looking at the bigger picture, the current price position is particularly interesting. Our analysis suggests that the shares are operating within a zone where 552p could eventually exert a considerable gravitational pull.
For the moment, maintaining a position above 394p is important to preserving the optimism surrounding the current cycle.
Our negative scenario
A share price closure below 394p would introduce a distinctly less comfortable situation.
Our calculations then suggest an initial downside objective of 360p. Should this level subsequently fail, the secondary target comes into play at 305p.
Interestingly, the latter level could also provide an opportunity for a substantial bounce, although getting there would hardly be an enjoyable experience for existing shareholders!
Even trading below 394p, without an actual closing breach, would be sufficient to introduce a considerable degree of nervousness.
And in summary?
M&S appears to be enjoying a rather welcome change in fortune, and the technical picture is certainly more encouraging than it has been for some time.
Our preferred scenario remains upward, with 448p the level to watch and 514p providing a considerably more interesting destination should momentum develop.
Of course, markets have an unfortunate habit of making fools of the most confident predictions. So, while upward travel currently looks the more attractive proposition, perhaps it wouldn’t hurt to invest in the odd lucky rabbit’s foot.
After all, a little technical analysis, a spot of optimism and a dash of good fortune never hurt anyone.
Source: Trends and Targets. Past performance is not a guide to future performance.
Alistair Strang has led high-profile and "top secret" software projects since the late 1970s and won the original John Logie Baird Award for inventors and innovators. After the financial crash, he wanted to know "how it worked" with a view to mimicking existing trading formulas and predicting what was coming next. His results speak for themselves as he continually refines the methodology.
Alistair Strang is a freelance contributor and not a direct employee of Interactive Investor. All correspondence is with Alistair Strang, who for these purposes is deemed a third-party supplier. Buying, selling and investing in shares is not without risk. Market and company movement will affect your performance and you may get back less than you invest. Neither Alistair Strang or Interactive Investor will be responsible for any losses that may be incurred as a result of following a trading idea.
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