KLCI: To retest all time high at 1647

• Overall, the previous uptrend will resume if the immediate 14-d SMA (1635) resistance is violated convincingly with higher daily trading volume, otherwise profit-taking and selling will likely cap gains in the ongoing Aug reporting season.
• Weekly resistances are 1647 and 1654 (150% FR) whilst support levels fall on 1623 (30-d SMA) and 1619 (lower Bollinger band).

NOTION: Likely to play catch-up against JCY

• Technically, Notion is in the midst of a cup and handle formation. The cup forms after an advance and looks like a bowl or rounding bottom. As the cup is completed, a trading range develops on the right hand side and the handle is formed. A subsequent breakout from the handle's trading range signals a continuation of the prior advance.
• Immediate resistances are RM1.29 (weekly upper Bollinger band) and RM1.34 (15 Apr 11 high). A breakout above RM1.34 will spur prices higher to RM1.42 (50% FR) and RM1.56 (38.2% FR).Supports are RM1.20 (weekly mid Bollinger band) and RM1.10 (weekly lower Bollinger band).  Cut loss below RM1.08.

Source: Hong Leong Investment Bank Research - 6 August 2012