Nike Runs Out Of Buyers After Being Awarded NBA Contract

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Nike Inc NKE shares are trading higher by $0.32 at $103.66 in Thursday's session. Earlier in the session, the issue sprinted to $105.12 before falling back to its current level.

The catalyst for the move to nearly its all-time high ($105.50) was the announcement that the company will become the exclusive oncourt uniform and apparel provider of the NBA, WNBA and NBA D- League.

After a higher open, it immediately peaked at $105.12, which coincides with a series of four highs between $105.18 and $105.22 from May 19 to May 22.

Since making its high, it has declined and is attempting to find support just below Wednesday's close ($103.63) at $103.52 and stage a rebound.