Velesto Energy shot up and formed a long white candle in its lastest session. With an RSI level above 70%, it may continue to climb above the resistance price of RM0.345. If this happens, its short-term target price will be RM0.37 followed by RM0.39. If it closes below RM0.345, expect a sideway movement. The support price is anticipated at RM0.325, whereby traders may exit on a breach to avoid the risk of a further correction.

Trading Call: Buy on continuation above RM0.345

Target: RM0.37, RM0.39 (time frame: 3-6 weeks)

Exit: RM0.325

Source: AmInvest Research - 24 Oct 2019