The USD 47.25 support, currently tested, should allow the U.S. chain of variety stores, Dollar General, to rally again.

From a fundamental viewpoint, the security is valued with a PER of 16.84x for 2013 and 14.24x for 2014. Besides, EV/Sales ratio is at 1.12x for this year.

Besides, Dollar General is oversold and this situation gives credit to a potential technical rebound. Thus, the stock could find new energy and would rise towards the next USD 50.3 resistance.

Investors can take a long position within the USD 47.25 area. The first target price will be the 20-day moving average at USD 51.2. In case of breakdown of the USD 45.65 support at the closing price, investors should close their positions.