Poh Huat Resources consolidated and is poised to test the RM1.81 resistance level. With its RSI indicator pointing upwards, coupled with higher trading volume, we see a possibility for a technical breakout. If this happens, we expect it to move towards the short-term target prices of RM1.88 and RM1.92. The downside support is projected at RM1.70. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM1.81

Target: RM1.88, RM1.92 (time frame: 2-4 weeks)

Exit: RM1.70

Source: AmInvest Research - 27 Oct 2020