Brambles is stacking up nicely | Michael Gable | Finance News Network

Brambles is stacking up nicely

by Michael Gable

I have been a big fan of stocks with US dollar earnings over the past couple of months and I have been happily rotating into these stocks for my clients. Obviously with the Australian dollar coming back, those companies that earn revenue in US dollars should receive an uplift due to the currency translation. You will notice that while the market had moved into correction territory during the last several weeks, these stocks with US dollar earnings have held up very well. One such stock is Brambles (BXB). It has been in an uptrend for nearly a year now and you will notice that the pullbacks are very corrective compared to the impulsive moves up. Recently, it has corrected back in a flag formation, which means that the uptrend is likely to continue sometime soon. The other bullish point to note is it has managed to sit on top of that previous high in March. With price action stacking nicely on top of that level, I would expect BXB to rally up towards $10.

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