Recall that we previously upgraded our TP for PMETAL to RM3.20 on 13 Feb 2015. The share price has traded according to our expectation and even surpassed our TP to settle at RM3.33 yesterday. Despite the slight overbought situation shown by the RSI and Stochastic, the underlying uptrend remains intact as it is trading along its uptrend channel, above all its SMAs and has also recently broken above its multi-month ‘Symmetrical Triangle’ resistance level. Thus, we are upgrading our TP for the stock to RM3.73 based on our ‘Symmetrical Triangle’ measurement objective, while our stop-loss is revised to RM3.20. Meanwhile, we do not discount the possibility of a technical pullback in the near-term to neutralize its overbought situation.

Source: Kenanga