Gentrack Shares Breaking Out

This story features GENTRACK GROUP LIMITED. For more info SHARE ANALYSIS: GTK

By MichaelGable

As we countdown to the start of the US interest rate cutting cycle next week, share markets remain on edge with flashes of volatility becoming more common.

Markets are near all-time highs but the feeling is not one of euphoria, which is a good thing. It is always healthy when we have something to worry about, because it usually means that when you look through the short-term volatility, you end up with a market that grinds higher.

They don’t call it a “wall of worry” for nothing.

Rate cuts are typically good for equity markets over the course of the year and some particular sectors tend to do better than others. But of course, markets don’t stick strictly to any form guide so it will be interesting to see over the next few weeks what sort of moves we get, whether we get any unexpected rotations from one sector to the next.

Either way, the next few months will require a little more attention and nimbleness than usual.

Today’s technical view is on Gentrack Group ((GTK)).

We last looked at GTK in early February where we noted the strong uptrend and the upside break at the time was a buying opportunity.

The stock has continued to trend well since then. Most recently, it has spent several weeks consolidating the move before breaking higher again yesterday.

Yesterday’s breakout is another buy signal where investors can buy here and place a stop loss nearby at $9.

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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