• WEGMANS closed 0.5 sen or 1.6% lower to RM0.31 last Friday.
• Share price rallied to a high of RM0.37 shortly after our initiation report recently. However, profit taking has seen share price retraced to current level and we believe the retracement is likely to be temporary in view of the solid fundamental of the company, hence prevailing level offers accumulation opportunity for investors.
• As such, resistance levels are expected at RM0.345 (R1) and further to RM0.365 (R2).
• On the flipside, support levels are identified at RM0.300 (S1) and RM0.280 (S2).

Source: Rakuten Research - 8 Jul 2019