ALGO Buy Signal In BBOZ

Posted on | by Todd | Leave a Comment on ALGO Buy Signal In BBOZ

Our ALGO engine triggered a buy signal in the BBOZ  ETF into yesterday’s ASX close at $14.80.

BBOZ is an inverse equity ETF based on the shares which trade in the ASX 200 index.

Since BBOZ is an inverse ETF, the price will rise as the ASX 200 index trades lower.

The “higher low” buy signal is referenced to the January 14th low of $14.40.

With the ASX 200 index trading near the highs of the year, investors can look to buy BBOZ to hedge their exposure to a wide basket of shares in just one ASX regulated transaction.

As the local share index has rallied sharply over the last 4-weeks, the price of BBOZ has dropped over 14% from $16.85 to $14.50.

For more information about how to profit with trading strategies in the BBOZ ETF, call our office at 1-300-614-002.

BetaShare BBOZ ETF

 

NAB Reports Lower Half-Yearly Profits

Posted on | by Todd | Leave a Comment on NAB Reports Lower Half-Yearly Profits

Shares of NAB are down over 1.5% in early trade as the bank reported a 16% drop in half-year cash profit as it booked a restructuring-linked costs related to workforce reduction.

The bank posted cash earnings, that excludes one-offs and non-cash accounting items, of $2.76 billion for the six months ended March 31, compared with $3.29 billion last year.

NAB bank maintained its interim dividend at 99 cents per share, which puts it on 13.2 times earnings.

Our ALGO engine triggered a sell signal for NAB on February 27th at $30.40.

The technical picture is fairly neutral, and with NAB going ex-dividend on May 16th, we see initial support in the $28.50 area.

NAB

 

Medibank + 10 to 12% cash flow

Posted on | by Leon Hinde | Leave a Comment on Medibank + 10 to 12% cash flow

We’ve been recent buyers of Medibank following the Algo Engine buy signal at $2.80.

With the stock now trading over $3.00 we recommend investors look to add a covered call option into December at the $3.10 strike price.

The addition of the option premium combined with the September dividend is generating an annualized cash-flow of almost 12%. The strategy also allows for 10% capital growth, should the call option get exercised at expiry.

Medibank goes ex-div $0.30 on the 21st of September.

 

FMG Continues To Look Attractive

Posted on | by Todd | Leave a Comment on FMG Continues To Look Attractive

Shares of FMG have posted as 6-week high at $4.75 as the Iron Ore miner reaffirmed FY18 shipments of 170 million metric tons.

It’s worth noting the Q4 is typically FMG’s strongest quarter for shipments.

This should continue this year as the company broadens its customer base to include low-grade ore users like India.

We still prefer the long side of FMG and have a medium-term price target of $5.35.

Fortescue Metals Group

Suncorp Near Resistance At $14.20

Posted on | by Todd | Leave a Comment on Suncorp Near Resistance At $14.20

Recent research on SUN has outlined a number of earnings hurdles the company will face for the rest of 2108 and into next year.

The hurdles include a higher trajectory of operating costs, findings of the royal commission on the insurance industry and lower Gross Written Premium growth.

All of these combined will likely lead to a lower underlying profit margin outlook.

Technically, our ALGO engine triggered a sell signal last November at $14.20 and we see price resistance in this area.

Our initial downside target is $13.35, followed by $12.90 over the medium-term.

Suncorp

ANZ Gets A Lift From H1 Results

Posted on | by Todd | Leave a Comment on ANZ Gets A Lift From H1 Results

ANZ posted a 4.1% rise in its half-year cash profit to $3.49 billion, boosted in part by a fall in its credit-impairment charge following the sale of a range of assets.

The bank held its H1 dividend unchanged at 80 cents per share as its impairment charges fell to $408 million from $720 million a year ago.

However, ANZ warned last week of a $620 million loss from the previously announced sale of a pensions and life insurance unit, as well as, a further $80 million in restructuring charges, some of which are related to the banking royal commission legal fees.

The technical picture for ANZ remains soft with daily chart resistance seen in the $27.40 area. 

ANZ