DIALOG’s technical picture is drawing attention after the share price surged 16sen to RM2.90 (+5.8%) yesterday as the market speculated on the possible release of positive financial results, expected in a few weeks. Indicator-wise, RSI and Stochastic have improved significantly lately with the 20-day SMA line poised to cross above 100-day SMA line, indicating that a short-term bullish rally could be in the making. Should the share price break out above the previous high @RM3.08 (17-Jul-2013), it could pave the way towards RM3.27 (Fibonacci) as next resistance. Meanwhile, short-term support is pegged at RM2.78 (20-day SMA).

 

Source: Kenanga