Telstra will trade without its 14.5c dividend this morning.
After Friday’s $5.25 close, this gives the stock at theoretical value of around $5.10 for this morning’s opening, and this may put the stock on the radar for chart based traders.
Telstra has set up quite a well-defined trading range since August last year. The support area for this range is defined by an upward sloping trend line that’s currently at around $5.05 and also by the 200 day moving average at $4.99.
An upward sloping trend line provides resistance for the upper end of the range at around $5.35.
Spark Infrastructure (SKI):
Spark Infrastructure, which owns electricity distribution networks in South Australian and Victoria, will report its 2013 results today.
Few surprises are expected with guidance for a steadily improving cash flow and an 11 cent dividend for the full year.
However, this stock has enjoyed a significant rally leading into today’s result, rising 8.5% or 14 cents from its recent low on 31 January.
Strong pre-result rallies will often see stocks placed on traders’ radars with potential for more price movement in either direction, depending on how results and management forecasts come in.
Ric Spooner is chief market analyst at CMC Markets. This is a new feature we will be running on Business Insider Australia, which will give you a heads up on the stocks to keep an eye on over the trading day*.
*Not to be taken as investment advice. Consult your broker or financial adviser.