Pharmaniaga may soon move higher to test the resistance level RM2.35. With the 21-day moving average still pointing upwards, we think that the uptrend remains intact. If it trades above the resistance level, expect it to move towards the short-term target prices of RM2.44 and RM2.59. The downside support is anticipated at RM2.20, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM2.35

Target: RM2.44, RM2.59 (time frame: 2-4 weeks) Exit: RM2.20

Source: AmInvest Research - 16 Jun 2020