KAREX (Not Rated)

• KAREX gained 6.0 sen (+12.77%) to close at RM0.530 yesterday.
• Since mid-Mar 2019, the share has been consolidating close to its key SMAs. Yesterday’s candlestick punched above the 100-day SMA, which could signify a shift in momentum.
• There are notable upticks from key momentum indicators as well and we believe that a “Golden-Cross” could soon follow.
• Should buying momentum continue, we look towards resistances at RM0.625 (R1) and RM0.720 (R2).
• Conversely, resistance can be found at RM0.500 (S1) and RM0.430 (S2).

HEVEA (Not Rated)

• HEVEA gained 3.0 sen (+4.54%) yesterday to close at RM0.690.
• Chart-wise, the share has been consolidating since January 2019 and yesterday’s move saw a decisive close above the 100-day SMA.
• This, coupled with exceptional trading volume, leads us to believe that there could be some follow-through buying.
• Should follow-through buying occur, we opine that the share should head towards its resistance levels at RM0.750 (R1) and RM0.810 (R2).
• Support levels, on the other hand, can be identified at RM0.635 (S1) and RM0.590 (S2).

Source: Kenanga Research - 11 Apr 2019