New Highs Ahead For Orora

This story features ORORA LIMITED. For more info SHARE ANALYSIS: ORA

By Michael Gable 

Last week saw the S&P/ASX 200 break through resistance near 5400, which is a positive sign. We sent a special note around last week highlighting how the heavy lifting in the last couple of weeks has been done by the top 20, but that would naturally tail off as the mid-cap space picks up the baton. This is already starting to happen with the top 20 easing back the last few days while most of our mid-cap stocks are starting to move now.

This is normal market behaviour and we should see mid-caps generally outperform again from here through to the new year – just as they have done over the last couple years. In today's report we have a couple of trading ideas as well as revisiting a stock that has made us money in the past – Orora ((ORA)).
 

 

ORA has so far made a 3-wave "abc" decline from the August peak with wave "c" being 1.6 times wave "a". It is sitting at some support here and we expect it to now bounce from current levels. If it fails to trade through $2.90 then we could see it come back a little further to support near $2.60. If it clears $2.90 however, then we would expect it to rally to a new high.

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)

Michael assists investors to achieve their goals by providing advice ranging from short term trading to longer term portfolio management, deals in all ASX listed securities and specialises in covered call writing to help long term investors protect their share portfolios and generate additional income.

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

Michael Gable is an Authorised Representative (No. 376892) and Fairmont Equities Pty Ltd is a Corporate Authorised Representative (No. 444397) of Novus Capital Limited (AFS Licence No. 238168). 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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