James Hardie Industries (JHX) is a global building materials company and the largest global manufacturer of fibre cement. Their operations span both Australia and the US.
“We tipped JHX in this column back in May and it continues to look very appealing here despite the big run that it has already had,” Michael said.
“There was a point in August-September when the uptrend looked very vulnerable.
“This is where it formed a triple top.
“The shares fell back and found support at the uptrend line in October. After that, they rallied strongly, hitting an all-time high and then consolidating again.
“This consolidation was a bullish sign as it meant that the shares were able to take a breather.
“Now that it has worked through all the sellers, it has broken to a new high.
“This means that JHX is likely to rally higher from here and resume its longer-term uptrend,” Michael said.
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