Closed:                    RM3.04

Resistance:              (R1) RM3.24/(R2) RM3.60

Support:                  (S1) RM2.86 /(S2) RM2.65

Axiata Group Bhd (6888) rose 20 sen to RM3.04 to breakout from its downtrend channel and the 50-day moving average (blue line).

Technical indicators are encouraging with the MACD crossing above its signal line and the RSI climbing towards the overbought zone.

After Wednesday’s surge, the stock could pull back but has a chance to extend its rebound if share price sustains above RM2.96. For the downside, we advise traders to cut loss if the price falls below the immediate support of RM2.86.