Sern Kou Resources Bhd (7180)

• SERNKOU gained 3.6% or 3 sen to RM0.855 yesterday.

• SERNKOU has been in a consolidation phase for some time and yesterday saw a bullish breakout from its support level on the back of higher volume. With the improving key indicators, we expect it to challenge the resistance level at RM0.90 and head towards RM1.00 level.

• From here, resistance levels are expected at RM0.90 (R1) and further to RM0.98 (R2).

• Conversely, downside support levels can be identified at RM0.80 (S1) and RM0.75 (S2).

Source: Rakuten Research - 7 Jan 2020