NTPM (Take Profit @ RM1.00). Recall that we had previously issued a buy call on NTPM (report dated 19-February 2016), as its share price staged a strong volume rebound play after appearing to have bottomed out. In line with our expectation, it rallied to a high level of RM1.09 last Wednesday (23 Mar 2016). However, NTPM had since experienced some profit-taking activities towards its psychological support level of RM1.00. As the technical indicators are looking bearish now with downtick seen by RSI and Stochastic from their overbought positions, we opt to lock in our mere profit of 3.63% for now. We will re-look into the stock once the technical picture turns more compelling again.

MAYBULK (Not Rated). MAYBULK recently garnered investors' interest again, surging 10.0 sen (16.0%) to close at RM0.725 on the back of strong volume breakout from its 1-year downtrend resistance line. We observe that the resurgence of investors’ interest in MAYBULK came in tandem with the rebounding Baltic Dry Index (refer to Figure x), which the share price heavily correlates to. Indicator-wise, the MACD histogram has staged a strong bullish convergence breakout from its trend line. Besides, an uptick by both Stochastic and RSI also suggest supportive bullish momentum. We reckon that MAYBULK provides a trading opportunity and it is expected to see its share price testing RM0.775 (R1) and possibly RM0.83 (R2) next. Immediate support is seen at RM0.62 (S1) and RM0.52 (S2) next. Nonetheless, we advocate conservative traders to wait for a technical pullback before entering the stock as the stock usually takes a breather after a strong surge (as circled on chart).

Source: Kenanga Research - 29 Mar 2016