MAYBULK’s share price surged 14 sen or 11.2% to RM1.39 yesterday on heavy trading volume. The uptrend movement was observed after a breakout from its long-term resistance while staying above its 20-day AND 50-day SMA trend lines. The bullish bias was further evidenced by the MACD indicators, undergoing a bullish divergence. Meanwhile, Stochastics and RSI indicators both heading north, showcasing the strong buying momentum. Thus, we are issuing a ‘Trading Buy’ on the stock with target price envisaged at the long-term resistance of RM1.58 (R2) while setting the stop-loss at RM1.31, 3 bids below its resistance-turned-support level of RM1.34.

 

 

Source: Kenanga