The FBM KLCI rebounded further and close above the EMA20 level on the back of bargain hunting activities within the index heavyweights. The MACD Histogram extended another green bar, while the RSI trended higher towards 50. Resistance will be located around 1,740-1,750 levels.

ENGTEX surged strongly after forming a flag formation breakout above the RM1.13 level on Wednesday. The MACD Indicator expanded positively above zero, but the RSI is slightly overbought. Price may rally towards the RM1.30 level after a short consolidation. Support will be pegged around the RM1.08 level.

PRLEXUS ended above the EMA9 level with improvement in volumes. The MACD Histogram has turned green and the MACD Line is hovering above zero. The RSI stood at 50. Price target will be envisaged around the RM2.27 and RM2.60 levels. Support will be anchored around the RM1.97 level.

CAB formed a bullish engulfing bar with slight improvement in volumes. The MACD Histogram has extended another green bar, while the RSI has crossed above 50 – suggesting that the momentum is picking up. Monitor for a breakout above RM1.10, targeting the RM1.20-RM1.28 levels. Support will be set around RM1.05.

Source: M+ Online Research - 3 Jul 2015