It's easier said than done to commit to buy ASX shares.
After all, it's a big decision to put your hard-earned into an asset for which no one truly knows how successful — or disastrous — it will be.
The best investors can do is research all the available indicators.
But of course, professionals have far more time and money to do such due diligence. So it pays to pay attention to which stocks they are keen on.
Here's a couple that Fairmont Equities boss Michael Gable says are in the buy zone right now:
Image source: Getty Images
'Stocks have been oversold'
ASX nickel and lithium producer IGO Ltd (ASX: IGO) had seen its shares plunge 23.5% during a perilous month between 14 July and 17 August.
But they have rallied furiously the past fortnight to rise 14.7%.
The lithium stock has turned a corner, according to Gable.
"Momentum indicators have also triggered a buy signal," Gable told The Bull.
"Fears about weaker Chinese growth have negatively impacted the resources sector. But we believe IGO and other resource stocks have been oversold and provide a buying opportunity."
With mineral prices down this year because of fears about the global economy, Shaw and Partners portfolio manager also believes the IGO share price is on the way up.
"This lithium and nickel miner has successfully put the Western Areas (WSA) billion-dollar write-down behind it, managing to deliver over $1 billion revenue for FY23 even with depressed commodity prices," he said in a Market Matters newsletter.
"It could become an attractive 'cash cow' if the lithium price were to advance further."
According to CMC Markets, eight out of 15 analysts currently rate the lithium stock as a buy.
These shares are 'likely to move higher from here'
Gable's other buy pick is packaging giant Amcor CDI (ASX: AMC).
Its shares have had a miserable 2023, now trading 13.6% lower than where they started the year.
However, since 17 August Amcor has bounced 6.7% to give investors some hope.
It's time to pounce, according to Gable.
"We believe the share price has probably bottomed out and is likely to move higher from here."
A few weeks ago, Baker Young managed portfolio analyst Toby Grimm called Amcor a "high quality" asset.
"Amcor's inherently defensive characteristics appeal in the current environment."
Unfortunately Gable and Grimm's peers aren't quite as enamoured with the company as they are.
CMC Markets currently shows only two out of 18 analysts recommending punters buy Amcor shares.
