Yesterday, IRIS’s share price snapped a 5 day losing streak to close with strong gains on news that the company had entered into an MOU with Handan Municipality for the replication and implementation of the Rimbunan Kaseh Project, an agro-economy farming prototype in the city of Handan, PRC. The share price was up 5.5 sen (+10.5%) to 58 sen for the day. Chart-wise, IRIS had rebounded from the confluence of support levels between the 20-day SMA and the channel support line. In addition, a “Marubozu” candlestick was formed signalling that buying momentum is set to continue over the next few days. From here, we expect IRIS to retest its recent high of 63 sen (R1) fairly soon. Should this level be taken out, further gains could be expected till 72 sen (R2).

 

Source: Kenanga