Supermax Corporation has been on a gradual recovery with its latest candle testing the RM1.71 level. With a moderate RSI level, a bullish bias may be present above this mark with a target price of RM1.83, followed by RM1.93. However, it may continue to trade sideways if it fails to go above RM1.71 in the near term. In this case, support level is anticipated at RM1.61, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy upon breakout above RM1.71

Target: RM1.83, RM1.93 (time frame: 3-6 weeks)

Exit: RM1.61

Source: AmInvest Research - 28 Jun 2019