VERTICE (Not Rated)

• VERTICE gained an impressive 9.0 sen (10.8%) to close at RM0.920.
• Yesterday's strong move signals an oversold recovery, supported by a jump in trading volume.
• Momentum indicators displayed upticks suggesting technical outlook is improving.
• With the MACD-Signal line crossover last week, expect the recovery to continue towards RM1.00 (R1). A decisive break above R1 would then serve as a huge positive, potentially attracting further buying towards RM1.06 (R2).
• Support levels can be found at RM0.870 (S1) and RM0.76 (S2).

SCICOM (Not Rated)

• SCICOM climbed 6.0 sen (3.59%) to end at RM1.78.
• Yesterday’s close saw SCICOM making a decisive breakout from its RM1.65 strong resistance level after seven months of a downtrend.
• Key momentum indicators are mostly in a positive state with MACD currently in the bullish divergence state, potentially signalling that the share price has bottomed out decisively and is now poised for a recovery.
• Expect SCICOM to punch through RM1.77 (R1) with ease over the weeks. Once taken out, further gains would then be expected towards RM1.89 (R2).
• Meanwhile, downside levels can be found at the resistance-turned-support level RM1.65 (S1) and RM1.60 further down (S2).

Source: Kenanga Research - 13 Feb 2018