VSTECS surged and tested the RM1.40 resistance level. With its 21-day moving average in an uptrend, coupled with a 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 RM1.46 and RM1.50. The downside support is projected at RM1.30. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on correction RM1.40

Target: RM1.46, RM1.50 (time frame: 2-4 weeks)

Exit: RM1.30
 

Source: AmInvest Research - 6 Oct 2021