Reach graduated from SPAC. Following the shareholders’ approval on 16 Nov to buy a stake in an O&G field in Kazakhstan, Reach finally graduated from its SPAC status (the 2 nd after Hibiscus) to become a full fledged exploration and production O&G company listed on the Main Market of Bursa Malaysia.
To recap, Reach was seeking shareholders’ approval for a 2 nd time on 16 Nov (after unsuccessful in its 1 st attempt on 4 Nov) to purchase a 60% stake in Palaeontol BV, which is the owner of the onshore O&G field named Emir-Oil LLP in Kazakhstan for US$154.9m (RM638.2m). Emir-Oil has four producing fields, coupled with two development fields and six drillable prospects. Shareholders also passed the proposed placement in Reach to raise gross proceeds of up to RM180m (@59sen/share).
Poised for a downtrend line breakout at RM0.62. On the back of recent strengthening in oil prices, the formation of weekly Tweezers bottom and bottoming up indicators, Reach share prices are likely to stage a downtrend resistance breakout soon. A decisive breakout above RM0.62 will spur prices to advance further towards RM0.64 (19 Dec high) and RM0.68 (200-d SMA), before reaching our LT target at RM0.71 (76.4% FR). Major supports RM0.60 and RM0.595 (30 Nov low). Cut loss at RM0.59.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....