CMSB (Not Rated)

• CMSB gained 23.0 sen (+7.88%) yesterday to close at RM3.15.
• We believe that the stock is poised to advance higher given yesterday’s breakout from previous swing high of RM2.97 coupled with the positive signals from key momentum indicators. 20-day SMA appears to be crossing above the 50-day SMA further reinforcing the bullish outlook.
• Expect CMSB to test resistance level of RM3.37 (R1) and should it break above this level, we look towards RM3.57 (R2) as the next resistance.
• Downside supports can be found at RM2.97 (S1) and RM2.48 (S2).

D&O (Not Rated)

• D&O gained 3.0 sen (+4.3%) to close at RM0.730 on increased trading volume of 2.8m shares.
• Yesterday’s close marked a decisive breakout from the key resistance level of RM0.705 which it had retested multiple times previously, to suggest the share price is poised for an upwards trending.
• Positive momentum indicators such as MACD-signal line crossover as well as RSI inflecting away from the oversold zone, all to signal a return of buying interest.
• Should RM0.740 (R1) be taken out next, further gains could then be expected towards RM0.800 (R2).
• On the downside, an immediate support can be found at RM0.705 (S1), which is a resistance-turned-support level, RM0.675 (S2) next.

Source: Kenanga Research - 25 Jul 2018