• Technical BUY on breakout with +30.9% potential return
• Last price: RM0.325
• Target price: RM0.41, RM0.445
• Support: RM0.29
• Stop-loss: RM0.285

BUY on breakout with a target price of RM0.445 and stop-loss at RM0.285. Based on the daily chart, TOB has formed a strong base at RM0.29 after a huge drop in the last few months. The chart shows that the upside trend will remain intact if the stock penetrates the RM0.34 level. Currently, both the MACD and the DMI indicators show a positive crossover to support the upward momentum. This is supported by an uptick in the RSI. We peg our targets at RM0.41 and RM0.445 if the stock penetrates the breakout level of RM0.34.

Expected Timeframe: 2 weeks to 2 months

Source: UOB Kay Hian Research - 27 Sept 2017