• Technical BUY on breakout with +18.5% potential return
• Last price: RM0.735
• Target price: RM0.86, RM0.895
• Support: RM0.685
• Stop-loss: RM0.68

BUY on breakout with a target price of RM0.895 and stop-loss at RM0.68. Following the earlier correction, share price has rebounded and moved above the BBI line, implying that the recent correction is over. The steady incline in the RSI points to a gradual rise in momentum. This is supported by the positive reading in the DMI. Currently, MACD is on the verge of making a golden cross to the positive signal. As such, we expect the upward movement to be sustainable, and thus peg our upside targets at RM0.86 and RM0.895.

Expected Timeframe: 2 weeks to 2 months

Source: UOB Kay Hian Research - 3 Aug 2017