ESCERAM’s share price just 6.0sen to RM0.27 with a spike in trading volume. Chart-wise, there appears to be a long White Marubozu candlestick suggesting that buyers dominated the days trading, while all 3 SMA’s are hooking upwards. Key indicators are bullish as the MACD is well above the Signal Line. RSI and Stochastic remain positive despite RSI being in the Overbought territory and we are not overly concerned as the stock can sustain for a prolonged period and continue to remain Overbought. This is because this spike caould mark the starting of uptrend acceleration. As most indicators are supporting the bullish momentum, we expect the share price to push towards RM0.28/29 (R1-R2) level and consequently to RM0.31 (R3).

 

 

Source: Kenanga