• HIAPTEK (Stopped Out). Recall that we had recommended a ‘Trading Buy’ on HIAPTEK (report dated 27-September) after the stock had broken out from its key resistance-turned-support level of RM0.32 back then. During the heavy sell-down among small cap counters yesterday, HIAPTEK declined 1.0 sen (3.07%) to break down from its support trend line and triggered our stop-loss level at RM0.315. Tapering overbought RSI and Stochastic indicators are also putting a downside-bias outlook on the stock in the near-term. With that, our previous Trading Buy call was stopped-out and we will look out for any potential re-entry opportunity in the future.

• MYEG (Not Rated). Yesterday, MYEG’s share price plunged to an intraday low of RM2.22 before paring losses to finish 10 sen (-4.2%) down at RM2.30. From a charting perspective, yesterday’s black candlestick with a long lower shadow indicates that bargain hunters were willing to defend the RM2.20/RM2.25 (S1) support levels. As a result, MYEG’s short-longer term uptrend remains intact. Similarly, the MACD has demonstrated some momentum loss, but still remain mostly positive for now. Unless and until the RM2.20/RM2.25 support is breached, investors can still expect bias to be on the upside. Overhead resistance levels are RM2.40 (R1) and RM2.50 (R2). Investors may consider buying on weakness closer to the aforementioned RM2.20/RM2.25 (S1) support. Failing which, the next support is located at RM2.10 (S2)

Source: Kenanga Research - 3 Nov 2016