Petronas Chemicals Group has rebounded from the oversold level. With an RSI above 50%, it may break the resistance level of RM8.60 and move towards a target price of RM9.14, followed by RM9.40. Meanwhile, it may lose its bullish momentum if it fails to break the resistance level in the near term. Support is anticipated at RM8.23, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy upon breakout above RM8.60

Target: RM9.14, RM9.40 (time frame: 3-6 weeks)

Exit: RM8.23

Source: AmInvest Research - 24 Jun 2019