Lii Hen Industries may soon retrace its path to test the RM2.50 level. Notice that the RSI indicator is below 30%, which denotes that the stock is oversold. Coupled with high trading volume, there is a possibility it will experience a technical rebound towards the short-term target prices of RM2.65 and RM2.75. The downside support is anticipated at RM2.25, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy low near RM2.50

Target: RM2.65, RM2.75 (time frame: 3-6 weeks)

Exit: RM2.25

Source: AmInvest Research - 13 Mar 2020