TIME may  tradehigher  if it  can hold above the  gap created yesterday.  The stock has been  in consolidation for the past  2 months, which came after the rally ofDec-Feb. The correction has not dented the stock's uptrend since Sep 2011 asthe recent low of RM0.325 is a correction of just about 62% of the prior rally,deemed positive based on Fibonacci analysis. Yesterday's firm close may signal the continuation of its uptrend, asshown by the  'Long White' candle.Sentiment is upbeat as the stock gapped above the 50-day MAV line.  Thus, a purchase can be made at  thecurrent price, with a stop loss on a close below yesterday's low of RM0.35. Amore conservative trade may  be toset  RM0.325 as  a  stopinstead, while a measured move based on the Dec-Feb rally could see  thestock  testing the psychological RM0.50,provided that RM0.425 resistance level is violated convincingly. The upside bias will be nullified should the  gap  becovered and is confirmed by a close below RM0.325, which  may even signal the end of the uptrend.Expect strong support at RM0.28, the gap of early Jan.

DVM share price may climb after breaking above theshort-term resistance level. This stock has been climbing gradually since the broadmarket rebound in Sept 2011.  This wasdespite the price collapse in Aug-Sep 2011. A clear resistance is seen  at RM0.11, which the multiple tests in thepast 5 months failed to break. This changed yesterday after the strong closeabove the level in a breakout which looks good as the  high volumeaccompanying  the 'Long White' candlesuggests firm buying interest. Thus, a purchase can be made at the currentprice, or  if possible, on a pullback towardsthe stop loss of RM0.11, which  was alsoyesterday's low. The first target is the resistance level of RM0.17, whichhalted price several times in Aug 2011. A strong move could even see the testof RM0.22, the high of late-Aug. However, the upward bias is likely to be nullifiedon a close back below RM0.11,  which isa  signal of  a false breakout. A close below the  Mar low of RM0.09 should confirm the weaknessand may even spell the end of the stock's 5-month rally.

Source: OSK188