Currently the trend is up and the units are holding support. In the current environment for income generating investments that’s about as good as it gets.
The momentum indicators are not suggesting a move to the upside so it would be best to be patient and wait for signals that AW.UN is going to move higher.
With the uptrend line broken, a new downtrend established, overhead resistance along the 50 day moving average, and thinning volume I don’t think its a great time to get in.
A couple of things to keep in mind when you look at products like the CSB and GIC’s. These are designed as retail products for small investors. The way that these products are created is by shaving the yield from an underlying asset reducing your return.
At this point there is no indicator signalling a rise in the price of the units . Why own what is essentially an equity if it doesn’t seem to have an upside?
Without a reason to hold in anticipation of a richer payout of distributions or appreciation of the price of the units I think that its time to look for an exit.
Tough times no doubt and given the seasonal nature of the business with sales strength in the May to August period I think you would have to be cautious at the best of times.
