Hengyuan Refining Company is attempting to persist its uptrend movement as it climbed higher but retraced mildly from its intraday high before the close yesterday – coupled with strong trading volume. If it manages to reclaim above yesterday’s high of MYR6.87, the renewed buying interest should propel the stock towards the next resistance of MYR7.33 – the highest level since Dec 2020 – then the MYR7.74 next resistance (Aug 2018’s high). If it falls below the support level of MYR6.09 (last Thursday’s opening level), selling pressure may emerge as it withdraws from the strong buying pressure that emerged on Thursday.

Source: RHB Securities Research - 10 May 2022