ResMed Wakes Up

Technicals | Oct 13 2020

This story features RESMED INC. For more info SHARE ANALYSIS: RMD

By Michael Gable 

Share markets did well last week, and the Aussie market in particular seemed to have bounced nicely off the lows of its recent trading range. We highlighted two weeks ago in this report that the declines in markets appear to be over for now. Recent price action here and in the US seems to be confirming our view now.

A stock we have been buying recently for clients is ResMed ((RMD)).

When we last looked at RMD on 18 August, we thought that it should head higher, but there was still a chance that "If current levels don't hold in the short term, then the next support level is closeby at $23." It appears as though RMD had indeed taken the scenic route while the overall market drifted lower in September. But that nearby support level has done its work with RMD putting in a double bottom at $23 and now breaking free of its recent range (circled) to be almost back to where it was in August. It is now highly likely that RMD gets on with it here and start to rally again. Current levels are therefore 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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For more info SHARE ANALYSIS: RMD - RESMED INC