Stock of the day: Northern Star Resources
As market volatility rises, investors turn to gold stocks like Northern Star Resources for stability, while GQG Partners attracts attention with strong fund inflows.
(AI video summary)
This video was created on 9 April for IG audiences by ausbiz.
ASX code: NST
Understanding market dips and buying opportunities
Analysts emphasise risk management when considering stocks like Northern Star Resources. They advise against buying stocks in free fall, instead focusing on those showing relative and absolute strength. Northern Star's resilience, rebounding to its 100-day moving average, makes it a potential choice for cautious investors.
Role of moving averages in trading
Moving averages are crucial for assessing stock trends and identifying buy or sell signals. They smooth price data, clarifying a stock's direction. When a stock hits these levels and rebounds, it signals a possible buying opportunity. This approach helps traders avoid buying during steep declines, focusing on stocks showing recovery signs. By using moving averages, traders better manage risk and make informed decisions in volatile markets.
Diversifying with global asset managers
Diversification is a key strategy for mitigating risk and enhancing portfolio performance.
GQG Partners has demonstrated resilience, maintaining steady growth and yielding significant dividends despite market fluctuations. With funds under management increasing by 78% since its initial public offering (IPO), GQG Partners offers exposure to diverse markets, including emerging markets.
News and trade ideas
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Trade of the week: stand aside
This week's trade recommendation focuses on risk management and the strategic value of not trading during turbulent conditions.Commodities -
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