MBM Resources may trend higher after it formed a long positive candle and hit a new multi-year high yesterday. Given that the stock has broken out from a 2-week bullish pennant pattern and supported by rising EMAs, the near term bullish trend may still have legs. A bullish bias may emerge above the RM5.60 level with stop-loss set at RM5.37, below the 50-day EMA. Towards the upside, near-term resistance level is seen at RM6.50, followed by RM7.00.

Entry : RM5.60–5.90

Target : RM6.50, RM7.00

Exit : RM5.37

Source: AmInvest Research - 30 Aug 2024