SERNKOU (Not Rated)

• SERNKOU gained 2.5sen (+2.87%) to close at RM0.895 yesterday.
• Chart-wise the share has been on a downtrend since early-November but has found support at its 50-day SMA.
• Yesterday’s candlestick was the third bullish candlestick, signifying strong buying momentum. Coupled with a potential bullish MACD-Crossover, we thus expect the share to continue trending upwards.
• Should the share continue heading north key resistance levels are seen at RM0.930 (R1) and RM0.960 (R2).
• Conversely, key support levels can be seen at RM0.850 (S1) and RM0.805 (S2).

KESM (Not Rated)

• KESM gained 16.0sen (+1.87%) to end at RM8.72 yesterday.
• Chart-wise, the share has been on an uptrend since early-September.
• Yesterday’s candlestick continued to close higher above all key-SMAs backed by above average trading volume. Despite its RSI appearing to be hovering at overbought levels, we believe the share could trend higher as all key-SMAs appears to be healthy.
• From here on key resistance can be found at RM9.10 (R1) and RM9.50 (R2).
• Conversely, downside supports can be identified at RM7.60 (S1) and RM7.00 (S2).

Source: Kenanga Research - 26 Nov 2019