• Technical BUY on breakout with +14.6% potential return
• Last price: RM0.83
• Target price: RM0.925, RM0.98
• Support: RM0.805
• Stop-loss: RM0.795

BUY on breakout with a target price of RM0.98 and stop-loss at RM0.795. Based on the daily chart, TMCL formed a series of higher highs and higher lows after the huge drop a few months back. Yesterday’s gain was also accompanied by high trading volume. The rising RSI and DMI indicators imply the positive momentum will strengthen in the near term. Currently, MACD is in a bullish crossover mode. We peg our targets at RM0.925 and RM0.98 once the stock penetrates above the breakout level of RM0.855.

Expected Timeframe: 2 weeks to 2 months

Source: UOB Kay Hian Research - 29 Sept 2017