The stock has been chopping sideways for the past 4-months or so. Yesterday, prices pushed out of this sideways trend, breaking out to a new 52-week high. The higher highs and higher lows structure from RM0.11 low late last year keeps the uptrend intact. The stair-stepping move higher keeps the bulls in control for the short-term.

The Moving Average Convergence Divergence (MACD) has climbed to a new 4-month high while the Relative Strength Index (RSI) is also edging higher. Both indicators are constructive of the current short-term uptrend.

We think that aggressive traders may want to go long here or on weakness with a stop-loss set at RM0.125 (a tick below the 50-day EMA). On the upside, prices may continue to work their way higher to test the historical resistances at RM0.17 and RM0.195 next.

Source: CGS-CIMB Research - 27 Feb 2024