Samchem Holdings rose and tested the RM0.90 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 RM0.935 and RM0.98. The downside support is projected at RM0.84. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM0.90

Target: RM0.935, RM0.98 (time frame: 2-4 weeks)

Exit: RM0.84
 

Source: AmInvest Research - 4 Jan 2022