Daily technical highlights – (GENP, POS)

GENP (Not Rated)

• GENP grew by 4.0 sen (+0.4%) to close at RM10.64 yesterday.
• Technically, yesterday’s bullish candlestick could suggest a downtrend reversal as the share appears to have bottomed out.
• Momentum indicators appears to be leaning towards the upside with bullish MACD crossover while other oscillators are showing upticks.
• From here, should buying interest sustain, we expect next advancement towards RM11.00 (R1) and RM11.60 (R2) next.
• Conversely, immediate support level to watch out for is RM9.70 (S1), where a break below will see the share at RM9.40 (S2).

POS (Not Rated)

• Yesterday, POS rose 15.0 sen (+10.60%) to close at RM1.56, backed by stronger-than-average trading volume.
• Chart-wise, the share seems to be catching a breather from the downtrend that started in October. Notably, yesterday’s candlestick formed along long bullish inverted hammer candlestick which we believe is a sign of a potential recovery.
• Additionally, key momentum indicators are showing meaningful upticks, further reiterating the possibility of a rebound.
• Should the buying momentum persist, we expect it to test its resistance at RM1.80 (R1) and RM2.20 (R2).
• Conversely, support levels can be found at RM1.20 (S1) and RM1.00 (S2).

Source: Kenanga Research - 13 Dec 2019