The share price recorded a new low after it close below the support line @RM1.76. In fact, PADINI failed to overcome the strong overhead resistance line of RM1.85 earlier despite several attempts. Similarly, key indicators such as RSI, Stochastics and CCI are weakening at the moment without any major sign of upside reversal. Hence, we believe the potential downside risk is greater than the upside. Should the share price close lower than RM1.70 (3-Dec-2012 low), the lower supports are pegged at RM1.65 followed by RM1.58 (Fibonacci support).

 

Source: Kenanga