Poh Kong Holdings moved higher to test the RM0.52 resistance in its latest session. With a rising RSI level, there is a possibility it will break above the resistance level and move towards target prices of RM0.55 and RM0.575. If it fails to cross above RM0.52, expect a sideway consolidation movement. Downside support is anticipated at RM0.49, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy upon breakout above RM0.52

Target: RM0.55, RM0.575 (time frame: 3-6 weeks)

Exit: RM0.49

Source: AmInvest Research - 8 Aug 2019