QL Resources is set to resume its bullish momentum, since it bounced off the 21-day average line while reclaiming the area above the consolidation area of MYR5.07, forming a “higher high” bullish pattern. Renewed buying interest above that level should push the stock towards the MYR5.26 resistance, followed by MYR5.40 – the highest point since 21 Oct 2021. Meanwhile, a drop below the MYR4.94 support may trigger the resumption of a downward correction, forming a “lower low” bearish structure below the average line.

Source: RHB Securities Research - 5 May 2022