AWC (Trading Buy, TP: RM0.865; SL: RM0.675)

• AWC gained 1.0 sen (+1.32%) to close at RM0.770 yesterday.
• Recall we mentioned in our previous report that we may consider a “Trading Buy” should AWC break above its 100-day SMA. Yesterday’s move saw the share punching through the 100-day SMA fulfilling our condition. Coupled with positive upticks in key momentum indicators, we believe that there could be more room for upside.
• From here, we expect AWC to test its resistance at RM0.810 (R1) where a break above it would see a further rally to RM0.880 (R2).
• Immediate downside support is at RM0.740 (S1), failing which further support is located at RM0.690 (S2) below.

SUPERMX (Not Rated)

• Yesterday, SUPERMX lost 1.0 sen (-0.64%) to close at RM1.56.
• Chart-wise, the share seems to be undergoing a bearish momentum after losing c.7% over the past five-day. Notably, the share is currently trading below all of its SMAs as it closed below its 20-day SMA yesterday.
• Shorter-term SMAs are also trading below longer-term SMAs which indicate that the downtrend is still intact. We believe that there may be further downside owing to lacklustre key momentum indicators.
• Immediate support levels can be found at RM1.41 (S1) and RM1.21 (S2). Conversely, resistance can be identified at RM1.70 (R1) and RM1.85 (R2).

Source: Kenanga Research - 27 Feb 2019