MPI has gathered investors’ interest as they recently announced a strong 3QFY14 result. MPI surged 10.0 sen (+2.31%) to settle at RM4.43 yesterday on high trading volume. The bullish move has caused a breakout from the “Symmetrical Triangle’ chart pattern, hinting that the share could undergo another round of rally. Adding to that, MACD has just crossed over the Signal line, indicating a buy signal and an increase in buying momentum. Traders who look to buy into the stock should target to take profit at RM5.01, while employing a strict stop-loss at RM4.31. This implies an attractive 4.8x reward-to-risk ratio (13.1% upside potential vs. 2.7% downside risk).

 

Source: Kenanga