Yesterday, HANDAL’s share price rose 5 sen or 11.36% to settle at RM0.49 with high trading volume. Chart-wise, the stock has formed a “Marubozu” candlestick, breaking out from its multi-month downtrend resistance level of RM0.47. MACD indicator was also on a bullish divergence away from its zero line, lending a hand to the bullish bias. Buying momentum is also strong, with Stochastic and RSI indicators both hooking upwards albeit Stochastic indicator is already in an overbought situation. We believe that follow through buying interest could rally the share price towards its next resistance level of RM0.51 (R1) and possibly RM0.56 (R2) further.

Source: Kenanga