SFP Tech Holdings is set to rebound towards the 4-week high as it bounced off strongly from the 21-day average line yesterday, surpassing the MYR1.64 immediate resistance. If the breakout sustains, the buying interest would persist to propel the stock towards the 1-month high of the MYR1.78 resistance, followed by the historical high at MYR1.91, or 23 Sep’s high. Conversely, the bullish momentum may reverse if it falls below the MYR1.53 support, forming a “lower low” bearish structure below the average line.

Source: RHB Securities Research - 8 Nov 2022