RSAWIT (Not Rated)

• RSAWIT gained 2.00sen (+7.84%) to close at RM0.275 yesterday.

• Chart-wise, the stock has been on an uptrend since mid-March.

• Yesterday’s candlestick closed higher and found support at its 100-day SMA. Coupled with an uptick in RSI and a bullish MACD, we thus expect the share to trend higher.

• From here on, overhead resistance can be seen at RM0.295 (R1) and RM0.350 (R2).

• Conversely, downside supports can be identified at RM0.235 (S1) and RM0.210 (S2).

GADANG (Not Rated)

• GADANG gained 7.0 sen (+18.18%) to close at RM0.455 yesterday.

• Chart-wise, the stock has been on an uptrend since late-March.

• Yesterday’s closed higher with the formation of a “Marubozu” candlestick backed by above-average trading volume. Given an uptick in the 20-Day SMA, we expect the upward momentum to persist.

• Should the stock continue heading upward, overhead resistance is seen at RM0.450 (R1) and RM0.590 (R2).

• Conversely, support levels can be identified at RM0.360 (S1) and RM0.290 (S2).

Source: Kenanga Research - 19 May 2020