Hai-O Enterprise was testing the resistance level of RM1.55 during its intraday high. The momentum indicator RSI has crossed the 50% threshold, and coupled with high trading volume, we foresee that the momentum could travel towards the short-term target prices of RM1.62 and RM1.67. In this case, the downside support is anticipated at RM1.43, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM1.55

Target: RM1.62, RM1.67 (time frame: 3-6 weeks)

Exit: RM1.43

Source: AmInvest Research - 16 Apr 2020