Together with the white marubozu candlestick, the breakout of the 1-week bullish falling wedge pattern seen yesterday indicate that Texchem Resources’ buying momentum is back. As the stock also recorded its new mulit-year high, the bullish momentum is likely to pick up further. A bullish bias may emerge above the RM3.60 level, with a stop-loss set at RM3.34, below 30 May’s low. Towards the upside, the near-term resistance level is seen at RM4.20, followed by RM4.40.

Entry : RM3.60–3.85

Target : RM4.20, RM4.40

Exit : RM3.34

Source: AmInvest Research - 1 Jun 2022