Pekat Group climbed and hit the RM0.735 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 RM0.765 and RM0.78. The downside support is projected at RM0.705. Traders are advised to exit on a breach to avoid further losses.

Trading Call: Buy on breakout RM0.735

Target: RM0.765, RM0.78 (time frame: 2-4 weeks)

Exit: RM0.705
 

Source: AmInvest Research - 11 Feb 2022