MRCB (Not Rated)

• Yesterday, MRCB slipped 1.0 sen (-0.97%) to close at RM1.02.
• The share has been on a rally since mid-Dec 2018, reaching a high of RM1.15.
• From a technical perspective, we believe that the share is likely to consolidate in the near-term, given that it failed to break above a significant level and as we observed lacklustre signals from key momentum indicators.
• Key resistance levels to look out for are RM1.06 (R1) and RM1.15 (R2).
• Any downward bias should see supports coming in at RM0.880 (S1) and RM0.785 (S2).

JAKS (Not Rated)

• JAKS gained 4.0 sen (+5.80%) yesterday to end at RM0.730.
• Chart-wise, the share has retraced following what seems to be a mini "head-and-shoulders" formation, finding support close to its 100-day SMA (at RM0.640-level).
• We believe that the retracement is likely to be over and that there is more room for upside given stochastic and RSI indicators, which have bounced from oversold/near oversold territory. Note that this could be a healthy retest of its 100-day SMA after breaking above it in early-Mar 2019.
• Should buying momentum continue, expect to see the share move to its resistance levels of RM0.935 (R1) and RM1.08 (R2).
• Conversely, support levels can be seen at RM0.635 (S1) and RM0.530 (S2).

Source: Kenanga Research - 9 May 2019