Uptrend Ongoing For Kogan

This story features KOGAN.COM LIMITED. For more info SHARE ANALYSIS: KGN

By Michael Gable 

Our optimism during these last few weeks appears to be paying dividends with the share market breaking above the June peak and, for now, holding in there. This naturally brings into play some higher levels on the Australian market. The sideways nature of the market these last few months has caused frustration in many people, but those who have stuck with it and maintained the course without throwing one's toys out of the pram are now being rewarded.

The US market, which is factoring in a Biden victory, has already made up its mind and is ready to head higher again. It shows that waiting for the US election to be over would just mean missing out on opportunities (imagine the extra rally if Trump gets in again). Locally, we have seen further improvements regarding re-openings, and that is lifting share market sentiment. We have been bullish for many months now on the reopen trade, and our recent pick of Ardent Leisure Group (ALG) two weeks is already up nearly 32% and doing well for all the clients who have taken up the trade.

In today's charting section, we take a look at Kogan.com ((KGN)).

The uptrend in KGN continues to look strong. After initially peaking in August, it then consolidated the move, sitting on top of the July peak. The last few days have seen it push beyond this recent consolidation. Because this recent consolidation is the largest seen since the March low, it means that the rally from here should be fairly sustainable for a while yet. This breakout in KGN is a buying opportunity. Any weakness needs to stay above the breakout zone in the high $22's.

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.
 

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.

FNArena is proud about its track record and past achievements: Ten Years On

Click to view our Glossary of Financial Terms