Pentamaster Corporation may soon trend higher to test the RM5.20 resistance level. With the RSI indicator pointing upwards, coupled with a higher lows technical pattern, we see that it may break out from resistance soon. If this happens, expect it to move towards the short-term target prices of RM5.40 and RM5.65. The downside support is anticipated at RM4.95, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM5.20

Target: RM5.40, RM5.65 (time frame: 2-4 weeks)

Exit: RM4.95

Source: AmInvest Research - 24 Jun 2020