DIALOG’s share price surged 15 sen or 10.3% yesterday to close at RM1.60 on heavy volume. The share price was observed staging a strong reversal after touching a low of RM1.46 (S2) mark, while also climbing above the 20-day MA trend line, further suggesting an uptrend movement. Meanwhile, a bullish bias was evidenced by the MACD indicator, which was seen rebounding. Moreover, both Stochastics and RSI indicators were hooking upwards, with the former surging beyond the overbought territory to signal the strong buying momentum. We expect the share price to test the next immediate resistance of RM1.65 (R1) should the buying interest is sustained.

Source: Kenanga