##{"id":61217,"date":"2013-01-31T10:37:51","date_gmt":"2013-01-30T23:37:51","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2013\/01\/31\/telstra-to-test-five-dollars\/"},"modified":"2013-01-31T10:37:51","modified_gmt":"2013-01-30T23:37:51","slug":"telstra-to-test-five-dollars","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2013\/01\/31\/telstra-to-test-five-dollars\/","title":{"rendered":"Telstra to Test Five Dollars?"},"content":{"rendered":"

\n\tDominant Australian telco<\/span> Telstra ((TLS)) is considered a defensive holding but this has not stopped the stock joining in the recent "risk on" rally. At the end of the day, reliable yield is still being sought in a low world interest rate environment which makes Telstra's forecast yield in excess of 6% over FY13<\/span> and FY14<\/span> very attractive to offshore investors, and even more so to domestic investors enjoying full franking.<\/p>\n

\n\tIndeed, analysts have begun to speculate on the prospect of Telstra raising its dividend in years ahead but while this might add to the positive story, a consensus price target for the stock of $4.02 among FNArena<\/span> database analysts does not. The stock closed yesterday at $4.59 and no database broker has ascribed a Buy rating.<\/p>\n

\n\tFrom a technical perspective however, the TechWizard's charts suggest Telstra, like most of the market, is in a "melt up" phase, and the Wiz notes no overhead resistance until the old 2008 high of $5.00. If the market rally continues, then the Wiz can see the stock heading to test that old high at $5.00.
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\n\tThe TechWizard is the pseudonym of Scott Morrison, whose experience in financial markets exceeds twenty years. Morrison operates his own website nowadays at www.techwizard.com.au. All views expressed are the TechWizard's, not FNArena's (see our disclaimer).<\/em><\/p>\n

\n\tTechnical limitations<\/strong><\/em><\/p>\n

\n\tIf you are reading this story through a third party distribution channel and you cannot see charts included<\/span>, we apologise<\/span>, but technical limitations are to blame.<\/strong><\/p>\n

\n\tFind out why FNArena subscribers like the service so much: "Your Feedback (Thank You)<\/a>" – Warning this story contains unashamedly positive feedback on the service provided.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"