Yesterday, MITRA rose 7.5 sen (+10.64%) to settle at RM0.78 with strong trading volume. Investors’ interest has been particularly strong recently due to its good contract replenishment momentum and cheap valuation. Technically speaking, MITRA has been trading on an uptrend over the past 2 months. Following yesterday’s strong showing, a long bullish candlestick has taken shape on the daily chart, suggesting some strong buying support for the stock. Positive readings from all key indicators (MACD, RSI and Stochastic) are supportive of our bullish view. Hence, we believe that MITRA could rally to retest its previous high of RM0.87 fairly soon. Should this resistance be taken out, MITRA could rally towards the next resistance level at RM1.00 (R3).

 

Source: Kenanga