CMSB (Not Rated). CMSB surged 20.0 sen (5.6%) to close at RM3.77 yesterday, breaking out from its consolidation zone resistance-turned-support level of RM3.70. The rebound play from its recent consolidation phase is backed by the hook up seen by the oversold RSI and Stochastic, triggering a buy signal for the short-term play albeit the lower-than-expected trading volume displayed. Thus, shall there be a stronger follow through buying in place over the coming days, CMSB could ride on the bulls towards RM3.80 (R1) before RM4.00 (R2) further. Key support levels are recognized at RM3.70 (S1) and RM3.60 (S2) southwards.

FGV (Not Rated). Over the past two months, FGV’s share price had lost as much as 43.7%, from a high of RM2.52 (23-Sep) to as low as RM1.42 earlier this week. While FGV’s overall trend remains negative, a near-term relief rebound may already be in the making. FGV closed at RM1.56 yesterday, 14 sen off its recent low. More importantly, FGV’s chart has just confirmed a “Morning Doji” pattern (circled), which is typical of a potential reversal. At the same time, the RSI indicator has also hooked upwards from oversold levels. Hence, we would not rule out the possibility of a further recovery towards RM1.60 (R1), and RM1.81 (R2) further up. Conversely, a break below the RM1.42 (S1) support would be a huge negative, with the next support only located at RM1.31 (S2).

Source: Kenanga Research - 2 Dec 2016