ELSOFT (Not Rated)

• Yesterday, ELSOFT gained 4.5 sen (+4.86%) to close at RM0.970.
• Chart-wise, yesterday, the stock has formed a long bullish candlestick and remains above its key 100-day SMA.
• Its 20- and 50-day SMAs have also formed a “Golden Cross” formation which leads us to believe that the share could test its previous swing high of RM1.08.
• Key levels of resistance to look out for are RM1.00 (R1) and RM1.08 (R2). Meanwhile, support levels can be found at RM0.925 (S1) and RM0.885 (S2).

CARIMIN (Not Rated)

• CARIMIN closed 3.5 sen higher (+4.02%) to end at RM0.905, yesterday.
• The share has mounted its 20-day SMA after a bullish candlestick formation. However, we noticed that volume is lacking and opine that buying momentum could be weak.
• Coupled with uninspiring signals from key momentum indicators, we see limited upside to the share.
• Immediate support levels can be identified at RM0.870 (S1) and RM0.815 (S2).
• However, should buying momentum persist, overhead resistances can be seen at RM0.960 (R1) and RM1.05 (R2).

Source: Kenanga Research - 24 Jul 2019