Just two weeks ago (5th April), we highlighted NAIM when the share price broke out of a “Bullish Flag” chart pattern. The share price had subsequently rallied as much as 39 sen (17%) to mark an intraday high of RM2.71 before closing just below the RM2.65/66 resistance last week. Since then, NAIM has been facing some difficulty in getting past this resistance level, and this comes in tandem with the RSI indicator which shows that momentum is waning. A pause in the overall uptrend seems overdue, and we would not rule out the possibility of mild profit taking at these levels. Traders should consider taking some money off the table, and perhaps re-enter at the RM2.40/32 support levels.

 

Source: Kenanga