Buying Opportunity in Centuria Industrial REIT

Technicals | May 07 2019

By Michael Gable 

The share market can be a funny place sometimes. The S&P 500 Index rose on Friday night due to strong April jobs numbers. Our market then fell on Monday because of a tweet from Trump, sparking fear of doom and gloom. The market went up on something factual, but went backwards on fear. Just like late last year, I figured the market would get a grip and go back to heading higher. Yes, as the market sits near its highs, we believe it can go higher.

In terms of stock specific stories, this week we look at Centuria Industrial REIT ((CIP)), which is an attractive REIT with a healthy dividend.

Our last commentary on CIP was back in September when it was trading at $2.74 and we expected it to continue heading higher. The shares are continuing to trend higher and there is nothing on the chart to suggest otherwise. In the short term, we have seen it ease back to form a bullish flag, which is also sitting on top of the 2018 higher. With CIP finding good support at the $3 level, it means that current prices represent a buying opportunity.

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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CHARTS

CIP