ELK-Desa Resources surged past the resistance price RM1.55 in its latest session with higher trading volume. With an RSI above 70%, the short-term momentum could reach a target price of RM1.63, followed by RM1.70. If it dips below RM1.55, it may continue to move sideways and consolidate. Support price is anticipated at RM1.48 whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on continuation above RM1.55

Target: RM1.63, RM1.70 (time frame: 3-6 weeks)

Exit: RM1.48

Source: AmInvest Research - 15 Jul 2019