Yesterday, MAGNUM rose by 10 sen to settle at RM3.75. The technical picture looks promising, as the share price managed a forceful break above the 50-day SMA yesterday. In fact, MAGNUM is now retesting the RM3.76 channel resistance, and we are optimistic of a move higher. Nevertheless, we suggest that traders watch out for a decisive breakout above the RM3.76 level which would offer added confirmation of a sustainable move upwards. Should the aforementioned resistance level be taken out, we reckon that the stock would have further distance towards the RM4.05 measurement objective.

 

Source: Kenanga