Sarawak Consolidated Industries is consolidating sideways below the resistance level RM2.24. With the RSI indicator trending above 50%, coupled with higher trading volume, a bullish bias may be present above the resistance level. If this happens, it will travel towards the short-term target price of RM2.32 followed by RM2.40. In this case, the downside support is marked at RM2.05, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM2.24

Target: RM2.32, RM2.40 (time frame: 2-4 weeks)

Exit: RM2.05

Source: AmInvest Research - 2 Jul 2020