VSTECS rebounded from its low to test the resistance level RM1.24. With the RSI indicator above the 50% threshold level, coupled with higher lows pattern, we see that the bullish momentum is intact. If it trades above the resistance level, expect it to travel towards the short-term target price of RM1.29 followed by RM1.35. In this case, the downside support is marked at RM1.12, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM1.24

Target: RM1.29, RM1.35 (time frame: 2-4 weeks) Exit: RM1.12

Source: AmInvest Research - 11 Jun 2020