Reach Energy was testing the RM0.24 level in the past few sessions. With an RSI level above 60%, the uptrend momentum may resume if it breaks above the resistance price in upcoming sessions. If this happens, its short-term target price will be RM0.255 followed by RM0.27. The support price is anticipated at RM0.22, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on further rebound above RM0.24

Target: RM0.255, RM0.27 (time frame: 3-6 weeks)

Exit: RM0.22

Source: AmInvest Research - 1 Aug 2019