Tomypak Holdings surged and tested the RM0.755 resistance level. With its RSI indicator pointing upwards, coupled with higher trading volume, we think that there could be a technical breakout towards the short-term target price of RM0.79 followed by RM0.825. In this case, the downside support is marked at RM0.685, whereby traders may exit on a breach to avoid the risk of a further correction

Trading Call: Buy on breakout RM0.755

Target: RM0.79, RM0.825 (time frame: 2-4 weeks)

Exit: RM0.685

Source: AmInvest Research - 29 Sept 2020