MALTON (Not Rated). Yesterday, MALTON rallied 3.5 sen (4.3%) to finish at the day’s high of RM0.725. Trading volume was explosive at 3.3m shares - more than 5x the 30-day daily average. Overall, MALTON’s technical picture is positive, with the share price on a modest incline since August last year and volume indicator giving healthy signals during this period (note the rising volumes during climbs and declining volumes during downward moves/ consolidation phases). As a result of yesterday’s bullish move, the share price has formed a “White Marubozu” candlestick, which reflects sustained buying throughout the day. We expect further gains from here, and see MALTON retesting the November's top of RM0.78 (R1) in the near term. Once taken out, the next resistance is located further up at RM0.81 (R2). Immediate downside support level is at RM0.70 (S1), although a break below RM0.65 (S2) below would be the reason for stopping losses.

KFM (Not Rated). KFM surged 2.5 sen (15.15%) to close at 0.19 yesterday, staging a technical breakout from a ‘Symmetrical Triangle’ chart pattern. Trading above and along all its up-trending moving averages, the underlying outlook is looking promising from hereon. MACD line is continuing on its uptrend trajectory on the back of pilling momentum on the stock, lending a hand on the bullish-bias outlook ahead. Follow-through buying interest is likely to rally the stock further up towards RM0.20 (R1) and possibly RM0.245 (R2) further based on the measurement objective. Immediate support levels are seen at RM0.17 (S1) followed by RM0.15 (S2) next.

Source: Kenanga Research - 19 Jan 2017