Ho Wah Genting Bhd (9601)

• HWGB rose 9.09% or 5.5 sen to close at RM0.66.

• Share price has fallen from high of RM1.52 and have bottomed out at RM0.455. Yesterday’s price action saw renewed buying interest on the back of higher trading volume and saw a resistance breakout at RM0.66.

• Positive news on HWGB securing a licence to distribute pharmaceutical products in Indonesia should see follow through buying hence share price is likely to cross over to the RM0.70 level and beyond.

• Resistance levels are seen at RM0.79 (R1) and further to RM0.86 (R2) level.

• On the downside, support levels are seen at RM0.45 (S1) and RM0.42 (S2).

Source: Rakuten Research - 13 Oct 2020