Highlights / Stock Pick of the Day
JCY International Berhad
JCY International's (JCY) share price has had a strong rally since its October lows of 39 sen. On the daily chart, the share price is currently facing strong resistance at the RM1.57 level, after testing this level on four separate attempts. With an ascending triangle apparent, the price action is fast approaching the apex, indicating a breakout in either direction in the coming days is highly probably. Should an upward breakout occur, the next level of resistance is likely to be at the early- May high of RM1.65, and subsequently, towards the measurement objective of RM1.80. On the flipside, initial support is provided at the upward sloping trend line at RM1.52 as well as the 20 and 50-day SMA at RM1.50/48.
On the weekly chart, JCY has formed a clearly defined uptrend since it made its lows in October. Besides, with the share price still a fair distance above the 20 and 50-week SMA, the underlying uptrend is still valid despite the MACD levelling out. We will, however, tread cautiously as the direction could swing either way from here. A breach below the support line at RM1.52 could indicate the end of the rally while a breakout above the RM1.57 level could potentially signal the next leg of the up-wave.
Source: Kenanga
vaneyap
just want to test and challenge our patient level....
2012-07-09 11:03