Yesterday, LAYHONG’s shareholders voted against the re-election of QL Resources’ board representative during its AGM. LAYHONG rose 29 sen (or 12.24%) to close at RM2.66, breaking out from its ‘Falling Wedge’ pattern with high trading volume. Indicators-wise, the MACD is currently undergoing a bullish divergence implying bright prospect ahead. Besides, key indicators like Stochastic and RSI are also hooking upwards, suggesting that investors’ buying interest is piling up. Should the bullish momentum continues, we view that the share price could rally towards our ‘Flagpole’ measurement objective of RM3.19, a potential 20% upside from here.

 

 

Source: Kenanga