You Go Where IGO

This story features IGO LIMITED. For more info SHARE ANALYSIS: IGO

By Michael Gable 

Share markets didn't make any progress last week and now the S&P 500 Index is retesting the February low.

We have noticed that momentum has still been trending higher since late January. This means that even if we get a slight dip under that low, it should then lead to another strong bounce higher. That is, we are thereabouts near the lows here and will just need to endure a bit more volatility for now.

The main game in town continues to be the resources sector and this week's report highlights an interesting chart of IGO Ltd ((IGO)).

After peaking in January, IGO then fell away sharply to levels just above the November breakout. It now appears as though the recent pullback has formed a flag and IGO broke above this a few days ago.

The only negative is that the pullbacks within this flag were very impulsive. It would have been more bullish to see a flatter consolidation. However, at this moment in time, it looks like we will get some upside in IGO from here and it should push on to new highs.

Content included in this article is not by association the view of FNArena (see our disclaimer).
 
Michael Gable is managing Director of  Fairmont Equities (www.fairmontequities.com)

Fairmont Equities is a share advisory firm assisting Private Clients with the professional management of their share portfolio. We are based in the Sydney CBD but provide services to private clients across Australia. We believe that the concepts of fundamental analysis and technical analysis of stocks are not mutually exclusive. Regardless of whether you are a trader or long term investor, combining both methods is crucial to success. As a result, the unique analysis of Fairmont Equities is featured regularly in the media such as Sky News Business, CNBC, The Australian Financial Review, and the ASX newsletter. Contact us for a free trial of our research and information on our portfolio management services. 

Michael is RG146 Accredited and holds the following formal qualifications:

• Bachelor of Engineering, Hons. (University of Sydney) 
• Bachelor of Commerce (University of Sydney) 
• Diploma of Mortgage Lending (Finsia) 
• Diploma of Financial Services [Financial Planning] (Finsia) 
• Completion of ASX Accredited Derivatives Adviser Levels 1 & 2

Disclaimer

Fairmont Equities Australia (ACN 615 592 802) is a holder of an Australian Financial Services License (No. 494022). The information contained in this report is general information only and is copy write to Fairmont Equities. Fairmont Equities reserves all intellectual property rights. This report should not be interpreted as one that provides personal financial or investment advice. Any examples presented are for illustration purposes only. Past performance is not a reliable indicator of future performance. No person, persons or organisation should invest monies or take action on the reliance of the material contained in this report, but instead should satisfy themselves independently (whether by expert advice or others) of the appropriateness of any such action. Fairmont Equities, it directors and/or officers accept no responsibility for the accuracy, completeness or timeliness of the information contained in the report.
 

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