Despite the two-month downtrend, we begin to see some signs for a short-term rebound potential on TOPGLOV after the share price  formed a “Long While” candlestick to close at RM6.28 (+20 sen), surging above the downtrend resistance yesterday. Technically speaking, the chart readings are bullish after the share price took out the 20-day, 50-day, and 100-day SMA resistances yesterday coupled with improving key indicators. We believe the strengthening momentum may propel the share price towards RM6.60 and possibly RM7.00 thereafter (with rising volume). On the downside, the immediate support is seen at RM6.10.

 

Source: Kenanga