SUCCESS (Trading Buy; TP @ RM2.77). SUCCESS has been trading on an uptrend channel while undergoing a sideways trading phase for the past three months towards its channel support trend-line. Yesterday, the share price was finally revitalised by strong investors’ interest to surge 13.0 sen (5.75%) to close high at RM2.39. The MACD histogram is displaying a positive outlook ahead by staging a bullish crossover to conduct a bullish convergence. Meanwhile, improved buying momentum is also depicted by the strong uptick seen in RSI and Stochastic. With the bullish-bias picture in place, we are issuing a buy call on the stock with expectation that follow-through buying will rally the share price further towards its immediate resistance level of RM2.50 (R1) before trending to its trend channel resistance target of RM2.80 (R2) in the near-term. Protective stop-loss is placed 3 bids below its immediate support level of RM2.19 (S1) at RM2.16, while the next support level is marked at RM2.12 (S2).

SCABLE (Stopped-out @ RM1.55). Earlier, we recommended a Trading Buy on SCABLE at RM 1.67 when the share price broke out of its sideways consolidation phase (report dated 23-Feb). To our disappointment, the share price had not performed as per expectations with the share price retreating after the single-day spurt. Subsequent attempts to climb higher were also met with profit taking. In fact, SCABLE has violated the 20-day SMA support level to trigger our RM1.55 stop-loss level. With the momentum indicators also weaker now, we are closing off the Trading Buy position for now. Traders who are still holding on to the stock may consider selling on strength at the RM1.60/1.62 (R1) resistance level. Further resistance is located at RM1.69 (R2) while downside support levels are RM1.53 (S1) and RM1.46 (S2).

Source: Kenanga Research - 10 Mar 2016