Ancom climbed higher and tested the RM0.825 resistance level during its latest session. With the RSI indicator pointing upwards, coupled with high trading volume, we believe that there could be a technical breakout above the resistance level. If this happens, it will travels towards the short-term target prices of RM0.85 followed by RM0.88. In this case, the downside support is marked at RM0.775, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM0.825

Target: RM0.85, RM0.88 (time frame: 2-4 weeks)

Exit: RM0.775

Source: AmInvest Research - 21 Jul 2020