SKP Resources tested the RM2.19 resistance level. With its 21-day moving average in an uptrend, coupled with a higher high candle stick pattern, we see a possibility for a technical breakout. If this happens, we expect it to move towards the short-term target prices of RM2.28 and RM2.34. The downside support is projected at RM2.10. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM2.19

Target: RM2.28, RM2.34 (time frame: 2-4 weeks)

Exit: RM2.10

Source: AmInvest Research - 2 Feb 2021