BREM is viewed to be undervalued after taking into consideration its land bank that are being held at acquisition cost. Beside, the Group is also looking to expand its land bank by using proceeds from the sale of its associate. BREM’s share price went up 14.0 sen (5.62%) to RM2.63 with a spike in trading volume. All 3 SMA’s are hooking upwards, while 50-day SMA has just overtaken the 20-day SMA, forming a “Golden Cross”. Chart-wise, there appears to be a white ‘Marubozu’ like candlestick, which implies that the bulls dominated during the day. The MACD indicator has also staged a crossover from the Signal Line, while RSI and Stochastics also are strongly hooking upwards. Should bullish momentum persist, we expect the share price to push through the resistance level at RM2.80 (R1), and continue towards RM3.27 (R2) next.

Source: Kenanga