SUPERMX confirmed its bullish “Pennant” pattern yesterday, which signals a resumption of the uptrend. The share price rose 13 sen to close at RM2.46 and came within 2 sen above its previous high. Furthermore, the key indicators such as Stochastics, RSI, and CCI are showing some notable improvement lately with MACD poised to cross above its signal line soon. Hence, we believe SUPERMX is poised for the upside for now. We rate this stock a BUY with a price target of RM2.64 (3-bids below measurement objective). For short-term momentum trading, we pegged our stop-loss at RM2.33 which is also the 50-day SMA support level.

 

Source: Kenanga