· PESTECH (TB, TP: RM RM5.53). PESTECH has been trading sideways for the past 2.5 months. Yesterday, the share price advanced 8.0 sen to settle at RM5.00, which is right above all the SMAs. Chart-wise, the share price has surged above the downtrend line. RSI and MACD indicators are inching upwards, suggesting that buying interests is picking up. PESTECH is one of our Top Picks for 3Q15, where it is still at the growing stage with 3.5-year CAGR of 63% and it is in a strong position to secure more contracts in the near future which could renew investors’ interests again. As such, we are issuing a “Trading Buy” call on PESTECH with a target price of RM5.53 (recent high on April) as we believe that the current share price could be a good entry point for investors to accumulate this stock.

· SASBADI (NR) gapped up yesterday, but the share price did not manage to close at the day's high of RM2.60, most likely due to profit taking activities by day traders. However, the share price managed to advance further by 12.0 sen or 5.06% to settle at RM2.49. The underlying trend of SASBADI remains up, which is well supported by all SMAs. Readings from key indicators are positive, implying the strong buying momentum. As such, should the buying interests persist, the share could rally towards +2SD regression level of RM2.80. Immediate support level could be found at RM2.35 (S1).

Source: Kenanga Research - 3 Jul 2015