• Technical BUY on breakout with +15.0% potential return
• Last price: RM1.39
• Target price: RM1.64, RM1.69
• Support: RM1.33
• Stop-loss: RM1.32

BUY on breakout with a target price of RM1.69 and stop-loss at RM1.32. Based on the daily chart, DUFU has been on a gradual decline in the last few days and closed at RM1.39. Nevertheless, the stock appears to have formed a base near the support level of RM1.33. The bullish crossover in the MACD and an uptick in the RSI suggest buying momentum has started to gain traction, which could lead to further price upside in the near term. We expect DUFU will continue the upward movement once it penetrates above the breakout level of RM1.47 on higher trading volumes.

Expected Timeframe: 2 weeks to 2 months.

Source: UOB Kay Hian Research - 28 Jul 2017