Higher Lows Supporting New Hope Shares

This story features NEW HOPE CORPORATION LIMITED. For more info SHARE ANALYSIS: NHC

The company is included in ASX200, ASX300 and ALL-ORDS

Michael Gable of Fairmont Equities notes shares in New Hope Corp are finding technical support from a series of higher lows on the price chart.

By Michael Gable

By Michael Gable 

The main news of the week was the testimony from US Federal Reserve Chairman Jerome Powell. He acknowledged tariff-driven inflation risks, but emphasised slowing growth and a weakening labour market.

Markets now price a 90% chance of a quarter-point cut in September and this is ultimately a positive for share markets.

This is especially the case when we consider that CPI in the US is fairly benign and because 80% of their economy is service based, the overall effect from tariffs on inflation could be lower than many anticipate.

Lower rates is not only a benefit to the share market overall, but lower rates mean a lower dollar, which is also beneficial to commodities such as gold.

Today, we offer a technical view on New Hope Corp ((NHC)).

Since the April low, NHC has been trending up nicely, making higher highs and higher lows along the way.

This recent dip is therefore another buying opportunity.

Traders can place their initial stop near the recent low at $4.085. The next major level of resistance from here is near $5.00.

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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