JCY International rebounded from its low to touch the resistance level RM0.32. Observe that the momentum indicator RSI is above 60%, and coupled with a rising trading volume, we see that it may soon break out from the resistance level. If this happens, the uptrend momentum will resume and move towards the short-term target prices of RM0.355 and RM0.375. In this case, the downside support is marked at RM0.28, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM0.32

Target: RM0.355, RM0.375 (time frame: 2-4 weeks)

Exit: RM0.28

Source: AmInvest Research - 28 May 2020