FBMKLCI

The FBM KLCI has ended below the uptrend line over the past two trading days. The MACD indicator is pointing lower, while the RSI is hovering below 50. If the key index violates below the 1,882 level, the key index could pullback towards the support of the 1,850-1,860 levels. Resistance will be set around the 1,900 level.

MELATI (5129)

MELATI has rebounded off the support of the RM1.44 level with improved volumes, forming a bullish candle above the EMA20 level. The MACD Histogram has turned green. The RSI, however, is overbought. Monitor for a breakout above the RM1.52 level, targeting the RM1.60 and RM1.76 levels.

SENDAI (5205)

SENDAI has experienced a flag formation breakout above the RM1.02 level accompanied by improved volumes. The MACD indicator has crossed above zero, but the RSI is overbought. Price target will be located around the RM1.11, RM1.20 and RM1.28 levels. Support will be pegged around the RM0.985 level.

IJACOBS (0162)

IJACOBS has experienced a sideways consolidation breakout above the RM0.40 level with high volumes. The RSI has hooked above 50, while the MACD Histogram has turned green; suggesting that the momentum is picking up. Price may rally towards the RM0.50-RM0.55 levels. Support will be set around the RM0.38 level.

Source: MalaccaSecurities Research - 18 Jul 2014