Perak Transit surged and tested the RM0.28 resistance level. With its RSI indicator pointing upwards, coupled with a higher low candle stick pattern, we see that there is a possibility it will experience a technical breakout. If this happens, expect it to travel towards the short-term target prices of RM0.31 and RM0.335. The downside support is anticipated at RM0.25, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM0.28

Target: RM0.31, RM0.335 (time frame: 2-4 weeks)

Exit: RM0.25

Source: AmInvest Research - 18 Sept 2020