Kossan Rubber Industries is looking to extend its upside movement after breaking past the key resistance level on high volume. The stock has gapped up to close above the MYR2.20 resistance to confirm a bullish setup. Trading volume has increased in tandem with the share price, showing that the underlying momentum is bullish. The renewed momentum should propel the stock towards the next resistance at MYR2.40, followed by the one at MYR2.60. Meanwhile, a fall below the MYR2 support level would negate the bullish setup.

Source: RHB Securities Research - 18 Sept 2024