Sime Darby is consolidating below the RM1.90 resistance level. With the momentum indicator RSI crossing the 50% threshold level, this shows there is a possibility it will break out from the resistance level soon. If this happens, it may move towards the short-term target prices of RM1.96 and RM2.05. The downside support is anticipated at RM1.79, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM1.90

Target: RM1.96, RM2.05 (time frame: 3-6 weeks)

Exit: RM1.79

Source: AmInvest Research - 16 Apr 2020