IJM Corporation is poised to extend its uptrend after rebounding above the 21-day SMA line and testing the MYR1.92 immediate resistance yesterday. Note, this stock has been consolidating sideways for the past three weeks – yesterday’s rebound signals a potential breakout. If the breakout occurs, the stock may climb towards the MYR2 mark, followed by the next resistance at MYR2.20. Conversely, a fall below the MYR1.81 support signals a reversal of the positive trend, as the counter’s price will trade below the SMA line and form a “lower low” bearish pattern.

Source: RHB Securities Research - 13 Oct 2023