BTA- watching for possible sharp drop in SP on the back of news that Novartis has developed a swine flu vaccine- may provide a bounce trade opportunity
HFA may receive increased interest today on the back of news that CBA are in the running to buy part of Lloyds Banking Groups Fund Management arm, Insight Investment Management, for between $450mil to $600mil. Other Fund managers and Private equity groups are also in the running, indicating that we may see period of consolidation in the Fund Management and Asset Management space. One concern that I have is that, on an equivalent basis, comparing only funds under management, the Lloyds deal values HFA (with funds under management of $7bil odd), at between $40mil and $60 mil, however it’s current Market Cap is $90mil. Does anyone else here know of any other Fund Managers or Asset Managers which look oversold and which are potential takeover or merger targets??
CTO-looking for a possible continuation of last weeks breakout above res at 18.5c and a very strong res line at 20c, although caution in this one is the order of the day because it has had a significant break out above the Bollinger on the daily chart, and a pull back is possible,
LYC for a continuation of last week’s run. It has broken out above a very strong resistance level at 50c, having closed at 58c on Fri. I see the next level of resistance at around the 80c mark. Hopefully we see this reached in the next few weeks, as regulatory approvals and other conditions precedent to their alliance are finalised, and their project is able to commence towards production.
OZL could see a bit of a spike after news of last week’s SH approval of the minmentals increased offer has had the time to be absorbed by the market over the weekend
CFU- we may see a second leg up after a little more than a week of consolidation at the 15c level. I have an initial price target of 25c.
ORO- after spike on Fri and speeding ticket confirming JV discussions. We may see a “sell the News” type pullback initially but there may be a good trading opportuinity on this one after high vol traded on Fri
AQA and GBG which have been fairly volatile last week after renewed interest in the Iron Ore juniors
