NAIM garnered investors’ attention after its major shareholder (Cahaya Mata Sarawak Bhd) proposed a 1:2 share split as well as a 1:1 bonus issue. Yesterday, NAIM rose 22 sen (+5.7%) to settle at RM4.05 with an all-time high trading volume. From a technical point of view, NAIM has recently broken out from its downtrend resistance level of RM3.61. Short-term trend of NAIM is bullish as it stays above all the short, mid and long term SMA levels. Together with its high trading volume recently, indicators are signaling a strong buying momentum ahead. With the trend probability leaning towards the upside, we expect buying interest to rally the share

price towards RM4.26 (R2) and probably RM4.60 (R3) next. Meanwhile, traders are advised to place a strict stop-loss at RM3.83.

 

Source: Kenanga