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Resources – Stop-Loss Required

Although many resource names have enjoyed a strong rally over the past 12 months, there’s reason to be cautious.

To protect capital we recommend investors holding resource names, run tight stop-losses below the recent lows.

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Overall, investors should be reviewing their portfolio allocations, tilting to defensive names and ensuring access to effective portfolio hedging and shorting strategies are in place.

Chart – FMG
Chart – RIO

 

 

 

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