Wah Seong is poised to resume its upside movement after it rebounded strongly with high trading volume. Observe that the stock has climbed above the 21-day SMA line, suggesting the correction phase is ending while the bullish momentum is picking up pace. If the stock breaks past the MYR0.80 resistance level, the momentum may accelearte towards MYR0.86, followed by MYR0.92. In the event it falls below the MYR0.74 support, the stock will resume the downside correction.

Source: RHB Securities Research - 9 May 2022