Telstra Offers Opportunity

This story features TELSTRA GROUP LIMITED. For more info SHARE ANALYSIS: TLS

By Michael Gable 

Today’s interest rate decision by the Reserve Bank and increased jitters in global markets over Greece remain the local market’s focus. The Australian Dollar faces a week of sharp volatility ahead of the RBA decision, with the RBA widely expected to keep the benchmark lending rate unchanged at 2%, and also given that domestic economic newsflow has increasingly underperformed consensus forecasts since the RBA meeting in May.

Today we take a look at a trading opportunity in Telstra Corporation ((TLS)).

 

We last looked at TLS on 21 April where we suggested “We would expect to see TLS come back to about $6.00 – $6.10 at which point that would be the next buying opportunity.” That has now happened perfectly (circled) and now TLS is knocking on the door of the recent short term downtrend. We would be happy to buy TLS around current levels, and a break of this short-term downtrend line is confirmation that it will continue to head up 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)

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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