BIMB was in the limelight as they recently proposed a final single-tier dividend of 8.5 sen for FY13. Yesterday, its share price rose 10 sen to close at RM4.33 on high trading volume. Chart-wise, the stock has broken out of its 6-month downtrend channel resistance of RM4.23 to signal a bullish reversal ahead. The MACD and RSI are also hooking upwards, indicating a bullish buying momentum ahead. Based on the chart pattern, BIMB could potentially commence a rally towards RM4.44 (R1) and possibly RM4.58 (R2) next. We suggest traders looking to buy into the stock to take profit at RM4.55. Meanwhile, we are placing a strict stop-loss 3 points below the support level of RM4.23 at RM4.20.

 

Source: Kenanga