Hwa Tai Industries rose and touched the RM0.70 resistance level. With its RSI indicator pointing upward, 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 RM0.725 and RM0.745. The downside support is projected at RM0.665. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM0.70

Target: RM0.725, RM0.745 (time frame: 2-4 weeks)

Exit: RM0.665
 

Source: AmInvest Research - 20 Dec 2021