August and September saw some dramatic falls in the price of iron ore. Naturally, the share price of BHP fell along with it.
“Many investors have been asking me if the share price has stopped falling and whether it is time to now buy back in,” Michael said.
“The chart of BHP is now telling me that we have very good support at these levels and the share price is likely to recover from here.
“After a big fall in a share price, stocks often need to build a new base before they can head higher again.
“It is not often that they turn around on the dime and provide you with a perfect V-shaped recovery.
“In the case of BHP, I can see that it has formed a good base during the last several months. “The last couple of days has seen it break out of this base on good volume.
“This is a classic breakout that tells me it is time to inform investors that now is the time to buy BHP again,” Michael added.
BHP Group (BHP)
Important: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. Consider the appropriateness of the information in regards to your circumstances.