• Profile. SYSTECH (formerly known as Viztel Solutions Berhad) is principally involved in the design, research and development, customization and implementation of Web-based solutions to various industries, such as direct selling, multi-level marketing (MLM) and retail.
• Based on hourly chart, the Dragonfly Doji and Tweezers Bottom” patterns signal potential restoration of uptrend. Buying momentum is picking up as yesterday’s volume of 5.4m shares transacted was 17.4% higher against 1M average of 4.6m and 31.7% higher than 3M average of 4.1m shares.
• Simultaneously, SYSTECH’s uptrend formed since Oct 14 is likely to persist in the short term to retest the upper channel in the weekly chart, as technical oscillators are on the mend. A decisive breakout above RM0.245 (downtrend line and 50-h SMA) will further boost upside targets to RM0.26 (38.2% FR) and RM0.27 (weekly chart’s upper uptrend channel).
• Key supports are pegged at RM0.225 (50-d SMA) and RM0.22 (daily lower Bollinger band). Cut loss below RM0.21.

Source: Hong Leong Investment Bank Research - 22 Oct 2015