HIBISCS (Not Rated)

• HIBSCS rose 6.5sen (+6.53%) to close at RM1.06 yesterday.
• The share has been on a downtrend since early-October 2018 but managed to gain strong buying interest during midDecember, which saw a rally thereafter.
• Yesterday’s long bullish candlestick saw it punched through the 100–day SMA. Coupled with an above-average volume at 72.6m, we believe the share price could trend higher.
• Should the buying momentum persist, we expect HIBISCS to find resistance at RM1.12 (R1) and RM1.17 (R2).
• Immediate supports can be found at RM0.958 (S1) and RM0.885 (S2).

VELESTO (Not Rated)

• Yesterday, VELESTO gained 1.0 sen (+4.65%) to close at RM0.225.
• The share rallied over the past two days likely due to investors’ optimism towards the announcement made by VELESTO regarding a contract extension.
• Chart-wise, the past two days rally saw it broke above the 20- and 50-day SMAs and is looking forward to test the 100-day SMA.
• If the share price can stay above the 100-day SMA, we may see it rally further towards RM0.265 (R1) and possibly RM0.290 (R2).
• Downside supports, on the other hand, can be found at RM0.185 (S1) and RM0.165 (S2)

Source: Kenanga Research - 15 Feb 2019