Guan Chong Bhd (5102)

• GCB advanced 10.8% or 38 sen to end at RM3.91 yesterday.
• Following their many consecutive quarters of profit growth and proposed bonus issue, share price hit above RM4.00 level yesterday, forming a positive long white candle with high trading volume. With a bullish signal from MACD and upticks in other key momentum indicators, the bullish trend is still intact.
• As such, resistance levels are expected at RM4.10 (R1) and possibly heading towards RM4.24 (R2).
• On the flipside, support levels are found at RM3.40 (S1) and RM3.20 (S2).

Source: Rakuten Research - 21 Aug 2019