MY E.G. Services Bhd (0138)

• MYEG closed unchanged at RM1.51 yesterday.

• Chart-wise, share price had a bullish run taking out a series of resistance levels supported by higher trading volume recently.

• Positive news on 3-year extension on foreign worker pass employment contract worth RM208m and the much anticipated RM1.5bn immigration contract (NIIS) which will ignite interest in the stock as it is strong contender for the project.

• It is currently trading above key moving averages hence we expect a bullish bias breakout to continue its uptrend.

• As such, resistance levels are identified at RM1.61 (R1) and RM1.70 (R2).

• On the downside, support levels are expected at RM1.34 (S1) and RM1.23 (S2).

Source: Rakuten Research - 6 Jul 2020