THHEAVY is catching the eyes of traders on possible synergy with Scomi Energy Services Bhd and the award of Petronas contract on 5th Feb. Its technical chart looks interesting with a confirmation of “Ascending Triangle” pattern on the daily chart. The stock closed at the RM0.965 trigger line yesterday, poised for a “Ascending Triangle” breakout. Should the aforementioned resistance be taken out convincingly, the chart implies a potential 28 sen upside towards RM1.245. As trading volume was notably higher for the day, we believe this is a strong signal for further upside ahead. We suggest targeting 3 bids below the measurement objective (RM1.23) while placing a stop-loss of RM0.885.

 

Source: Kenanga