Mineral Resources: Ready To Launch?

Technicals | Mar 23 2021

This story features MINERAL RESOURCES LIMITED. For more info SHARE ANALYSIS: MIN

By MichaelGable

Last Tuesday it appeared as though the Australian market was starting to move out of its recent range, but it has once again fallen back and continues to show no progress since early December. Commodities, outside of iron ore, seem to be holding up well and recently-covered stocks such as Incitec Pivot, OZ Minerals, and De Gray Mining still look good. Travel stocks also continue to look good at the moment.

Outside of that, most sectors continue to drift sideways. Having said that, there are some opportunities in today's research. We have taken a look at Mineral Resources ((MIN)).

MIN is looking very interesting here. We can see that at the end of February, it failed to push beyond the January peak, but that it wasn't sold down heavily. It is now clear that the shares are forming a flag underneath this old high, and that is a bullish sign. It looked set to break out of this flag last week but has remained within it for now. It should therefore just be a matter of time until MIN is ready to launch out of this flag and therefore resume the uptrend. A deeper pullback to levels under $36 would be viewed as a negative.

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: MIN - MINERAL RESOURCES LIMITED