SENDAI (Not Rated)

• SENDAI fell 4.5 sen (-7.50%) yesterday to close at RM0.555 on higher-than-average trading volume.
• Chart-wise, the share formed a long bearish candlestick which decisively broke below its 20-day SMA after a failed test of its 50-day SMA, which indicates the possibility of a downtrend continuation.
• Coupled with lacklustre signals from key momentum indicators, we believe the share could potentially head lower.
• Should selling pressure continue, we believe that RM0.530 (S1) and RM0.455 (S2) should offer some supports.
• Conversely, any upside should see resistances at RM0.575 (R1) and RM0.660 (R2).

ORNA (Not Rated)

• ORNA increased by 3.0 sen (+2.91%) to close at RM1.06 yesterday.
• Technically, yesterday’s bullish candlestick could suggest a trend reversal.
• Momentum indicators appear encouraging as displayed by the MACD bullish crossover and minor upticks seen in RSI and Stochastic.
• From here, follow-through buying may bring the share to meet resistance at RM1.10 (R1) with a decisive take down will see the index on a higher note at RM1.20 (R2).
• However, failure to do so, the share may retreat back to immediate support level RM1.00 (S1) and RM0.880 (S2) further down.

Source: Kenanga Research - 12 Mar 2019