ARMADA (Not Rated)

• Yesterday, ARMADA rose 2.5 sen (+5.1%) to close at RM0.515.
• Chart-wise, the stock has been undergoing a period of correction since Nov’19. Nonetheless, the past two days’ bullish candlesticks have lifted the stock to trend above all of its key SMAs, signalling a possible reversal.
• Coupled with forming bullish MACD, we believe that the stock may continue trending upwards.
• From here, should bullish momentum sustain, we expect next advancement towards RM0.600 (R1) and RM0.700 (R2) next.
• Conversely, support levels are identified at RM0.405 (S1) and RM0.300 (S2).

DSONIC (Not Rated)

• DSONIC went up by 4.0 sen (+3.17%) to close at RM1.30 yesterday.
• We note that the stock is currently on a long-term uptrend, which see it trending sturdily above all of its key SMAs.
• On the back of stronger-than-average trading volumes and a bullish MACD, the stock could trend higher.
• We expect the share to test its resistance at RM1.50 (R1) and RM1.60 (R2).
• Conversely, support levels can be found at RM1.00 (S1) and RM0.900 (S2).

Source: Kenanga Research - 24 Dec 2019