$Fortescue Ltd (FMG.AU)$ stock jumped 6.06% on Wednesday, with trading volume expanding to A$229.02 million. Fortescue has risen 8.89% in the past week, with a cumulative loss of 28.20% year-to-date.
Fortescue technical analysis chart:
Technical Analysis:
Support: A$17.16
Resistance: A$20.23
Price range A$17.16 to A$20.23: The trading range indicates a heavy concentration of buy orders, with the stock price on an upward trend and strong upward momentum. However, there is a risk of profit-taking as some gains have been accumulated. The stock price bounced back after finding support near A$17.16. It repeatedly touched around A$20.23, establishing a level of resistance that impedes further upward movement. There are also some trapped positions around A$20.23, and it is necessary to observe whether the resistance level near A$20.23 can be effectively broken through.
Market News :
Fortescue struck a US$2.8 billion deal with Liebherr to collaborate on zero-emission mining equipment. These machines will run on a battery tech system created by Fortescue Zero. The company is set to buy around 360 self-driving electric trucks, 55 electric excavators, and 60 battery-powered dozers. This purchase accounts for roughly two-thirds of the current mining fleet at Fortescue's facilities. It also signals a clear advancement in the shift from Fortescue's diesel-based mining fleet to a greener, emissions-free alternative.
Australian mining stocks have seen a significant surge, driven by China's new round of stimulus measures, which include policies to increase bank lending, lower short-term interest rates, and plans to reduce mortgage rates.
Overall Analysis:
Fundamentally, focus on the company's performance and operational status. Technically, pay attention to whether the support levels hold and if the resistance levels can be effectively breached.
In this scenario, investors should adopt a cautious strategy, setting stop-loss points to manage risk and maintaining ongoing vigilance regarding company developments and market conditions.
Source: Fortescue
