Oil ETF – Buy
We see value in the Betashares Crude Oil Index ETF-Currency Hedged for investors willing to take a longer-term view.
Cleanaway – Back at Support Levels
Cleanaway Waste Management is now under Algo Engine buy conditions and we see buying support building at $1.50
As an essential service, CWY offers a degree of safety, and the company maintains a strong balance sheet and liquidity.
Australian Share Market – What you need to know
S&P/ASX has run into resistance at 5250 points. Portfolios should be positioned defensively until we see a break back above this level.
The list below highlights the themes we will be focusing on in the coming weeks.
- Watch gold for buying support
- BBOZ & BBUS provide downside protection
- Banks and property to come under further pressure
- Revisit buying levels in technology and healthcare
- Oil sub $20 and Nat Gas sub $1.60 provides an opportunity
- Expect discounted rights issues to shore up balance sheets
- Impact on bank earnings will be substantial
- Iron Ore prices have remained strong, can it continue?
- Will the Government consider stimulating housing construction?
- Strategies to protect and grow portfolios.
Keep an eye out for our “Opportunities in Review” webinar invitation and feel free to call our office on 1300 614 002 to discuss our preferred strategies in the current market.
REA Group – Value Has Emerged
REA Group is under Algo Engine buy conditions and is a current holding in our ASX 100 model portfolio.
The share price has corrected over 40% due to the impact of COVID-19. Earnings will decline over the coming months as restrictions impacting open homes and slower vendor listings bite in the short-term.
In the medium term, we see scope for a full recovery in the business and therefore, the current share price at 20x forward earnings looks attractive.
Carsales.com – Algo Buy Signal
Carsales.Com is under Algo Engine buy conditions and is a current holding in our ASX 100 model portfolio.
We see value emerging and suggest buying at market and running a stop loss at $9.50.
Ramsay Health Care – Buy
Ramsay Health Care is under Algo Engine buy conditions and is a current holding in our ASX 100 model portfolio.
We see value emerging and suggest accumulating within the $50 – $52 price range.
Cochlear – Finding Buying Support
Cochlear is under Algo Engine buy conditions and is a current holding in our ASX 100 model portfolio.
We see value emerging and suggest buying at $171 and running a stop loss at $164.50.
Note: COH went ex div $1.60 today.
Watch Monday’s Opportunities in Review Webinar
The recording from Monday’s webinar is available below:
Sonic Healthcare – Rallies 10% Intra-Day
Sonic Healthcare rallied 10% higher from today’s open price.
Although Sonic has withdrawn its FY20 earnings guidance, (EBITDA
growth 6-8% cc) due to COVID-19, the company has a strong balance sheet with $1bn of cash and committed credit facilities available with no debt facilities maturing until 2021.
Coles & Woolworths – Opportunity Approaches
After trading out of the ‘long” Woolworths and Coles positions at higher levels, we again begin tracking the approaching entry-level in these names.
Both have started to correct lower and we expect to see an appealing entry-level present this week.
laches
Level 17 Chifley Tower
2 Chifley Square
Sydney, NSW 2000
1300 614 002
Investor Signals Pty Ltd
ABN 44 143 555 453
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