Velesto Energy retreated after failing to break above the resistance price of RM0.31. With an RSI level above 50%, its uptrend momentum may resume if it breaks above RM0.31 in upcoming sessions. If this happens, its short-term target price will be RM0.33 followed by RM0.34. Support price is anticipated at RM0.285, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy upon breakout above RM0.31

Target: RM0.33, RM0.34 (time frame: 3-6 weeks)

Exit: RM0.285

Source: AmInvest Research - 5 Sept 2019