Buying Opportunity In Macquarie Group

This story features ASX LIMITED, and other companies. For more info SHARE ANALYSIS: ASX

Download related file: The-Dynamic-Investor-22-October-2013

Note: FNArena subscribers can view the full Fairmont Equities report this week via the attached PDF.

By Michael Gable 

In this week’s report, we launch our new model portfolio and spend a few pages describing why we have taken the approach we have, as well as a bit of info on some of the stocks that comprise it. Every week we will have a dedicated section at the end to show you how the portfolio is progressing as well as identifying any changes that were made during the week. For simplicity, we have made the inception date as Monday 21 October 2013, and have taken the prices on the open. With the market at 5 year highs and plenty of stocks fully valued, we have obviously launched it at a challenging time to beat the market. So we look forward to reviewing the performance. Our initial cash holding also gives us the ability to make additional purchases on any market pullback.

In our Charting section today, we have identified a few trading opportunities in ASX ((ASX)), Aurora Oil & Gas ((AUT)), and Cudeco ((CDU)). While they don’t pass the test as a long term investment, they could potentially provide some great returns in the short term.

Macquarie Group

We’ve covered Macquarie Group ((MQG)) a couple of times in the last two months, firstly identifying the breakout from the $44 level. After rallying to $50, the stock then drifted back to retest the upper breakout levels at $47 before commencing another run. Another drift back to under $50 is a final buying opportunity as the stock is heading to at least $57 at some point in the next few months.

(Note: MQG will report its interim result on November 1 – Ed)
 

Content included in this article is not by association necessarily 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.

Find out why FNArena subscribers like the service so much: "Your Feedback (Thank You)" – Warning this story contains unashamedly positive feedback on the service provided.

Click to view our Glossary of Financial Terms