The local consumer apparels retail giant, PADINI is back in the limelight after it revealed an aggressive expansion plan to open another 9 stores by FY14. At yesterday’s closing price of RM2.06, the share price rose 5 sen for the day. This marks a major bullish breakout from its 2-year downtrend channel between the range of RM1.55-RM2.03. The share price has now confirmed a long-term “Bullish Flag” pattern on the daily chart, amid high trading volume. Key momentum indicators have also inched deeper into bullish territory, and we reckon that the share price could potentially advance towards the RM3.10 “Flagpole” target price within a year time. In the meantime, we are employing a strict stop-loss is pegged 3 points below the new resistance-turned-support level of RM2.00. 

Source: Kenanga