N2N (Not Rated)

• N2N gained 7 sen yesterday (5.6%), closing at RM1.32, backed by exceptional trading volumes more than double its daily average.
• Chart-wise, the stock has posed an impressive rally after bottoming out in early April this year. Yesterday’s move could represent a continuation of this trend, after it managed to break out its previous RM1.28 resistance in which was retested twice over the past month.
• From here, the Fibonacci projects overhead resistances at RM1.42 (R1) and RM1.51 (R2). Similarly, supports can be identified at RM1.14 (S1) and RM1.05 (S2).

GKENT (Not Rated)

• GKENT dropped a further 2.0 sen (1.65%) yesterday to finish at RM1.19.
• The counter has been heavily sold down post-GE14, where after consecutive gap downs and plunges, managed to drop to as low as RM1.12, from around the RM4.00 level pre-elections.
• Technically, however, the stock may be giving signs that it is close to bottoming out, with RSI and Stochastic currently in oversold territory, coupled with its MACD currently in a bullish divergence.
• From here, keen traders may consider timing their entry should the stock approach closer to support at RM1.12 (S1). However, a break below this crucial support would be critically negative.
• Conversely, recovery could potentially bring prices towards resistances at RM1.50 (R1) and RM1.91 (R2) further up.

Source: Kenanga Research - 3 Jul 2018