Reach Energy jumped and is poised to test the RM0.095 resistance level. With its RSI 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 RM0.105 and RM0.12. The downside support is projected at RM0.075. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM0.095

Target: RM0.105, RM0.12 (time frame: 2-4 weeks)

Exit: RM0.075

Source: AmInvest Research - 11 Nov 2020