Leform is in the midst of rebounding from its sideways consolidation phase as it bounced off the immediate support to re-test the MYR0.225 immediate resistance level yesterday. If it manages to surpass above that consolidation phase, the stock may climb higher towards MYR0.24 – 21 Dec 2022’s high – before reclaiming the historical high at MYR0.26 level, ie 20 Dec 2022’s high. However, the counter may move downwards if it drops below the MYR0.205 support, forming a “lower low” bearish pattern below the 21-day average line.

Source: RHB Securities Research - 10 Jan 2023