Yesterday, PIE advanced by 24 sen to close at RM6.29 after hitting an intra-day high @RM6.51 as investors gained confidence on the stock after the group’s recorded an impressive set of 9M13 results due to higher demand for its electronic manufacturing products. In fact, the share price confirms the formation of the longpole “Flag” pattern, which suggests that a rally could be on the cards. Chart-wise, the uptrend has been supported by ascending SMAs line (20-day, 50-day, and 100-day) with strong buying volume. We are calling a BUY on PIE with a mid-term target price of RM7.56, based on previous measurement objective. Meanwhile, a strict stop-loss is pegged at RM5.80.

 

Source: Kenanga