KLCC’s technical picture has been gradually improving after it rebounded from a recent low @RM6.06. In fact, the recent uptrend has violated the overhead resistance level @RM6.50. However, the late spike of the share price was not accompanied by active buying interest, which prompted us on the possibility of a false breakout. Furthermore, key indicator such as Stochastics has crossed below its signal line at the overbought condition. Thus, as further upside remains murky and a strong Fibonacci resistance @RM6.70, we suggest investor look to buy at lower price @RM6.00 (double-bottom support) should the bearish view materialised.

 

Source: Kenanga