Malaysia Pacific Industries’ syariah status was removed due to its cash-to-total asset ratio breaching the 33% threshold. Given the overreaction, it may experience a technical rebound upon successful recovery above RM10.40 with a target price of RM11.60, followed by RM12.50. Meanwhile, support is anticipated at RM9.50 whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on technical rebound above RM10.40

Target: RM11.60, RM12.50 (time frame: 3-6 weeks)

Exit: RM9.50

Source: AmInvest Research - 3 Dec 2018