• Technical BUY on breakout with +26.7% potential return
• Last price: RM0.205
• Target price: RM0.285, RM0.315
• Support: RM0.19
• Stop-loss: RM0.185

BUY on breakout with a target price of RM0.315 and stop-loss at RM0.185. Despite a steep sell-off from the previous high of RM0.29, EDN’s share price found support within the RM0.19 level before consolidating and gradually rising along the trendline as the share price made a series of higher highs and higher lows. Positive readings from the MACD and DMI support our view with signals indicating the end of the recent consolidation and the start of an uptrend. We peg our targets at RM0.285 and RM0.315 in near term.

Expected Timeframe: 2 weeks to 2 months

Source: UOB Kay Hian Research - 7 Sept 2017