GAMUDA attracted investors’ interests after media reported that GAMUDA is likely to land the Project Development Partner (PDP) contract in Penang. Following the positive news flow, GAMUDA’s share price surged 12 sen yesterday to end at RM4.88. GAMUDA’s technical picture looks interesting as the short-term trend line of RM4.73 has been taken out with a long white “Marubozu” candlestick. Key momentum indicators like MACD, Stochastic and RSI are also hooking upwards, suggesting that investors’ sentiment has turned bullish on the stock. Judging from yesterday’s strong buying interest, we reckon that follow through buying interest would continue to surface over the next few days. From here, GAMUDA could move higher to challenge the previous 5-year high level of RM5.15 fairly soon.

 

Source: Kenanga