Malayan Flour Mills jumped above the resistance level with a higher trading volume – it is ready to break out from the sideways zone observed since August. We have seen trading volumes been picking up lately, indicating strong buying pressure. A breakout from the MYR0.70 resistance threshold will see the stock trending higher to test the next hurdle at MYR0.75 – this is followed by the MYR0.79 level. A downside breach of the MYR0.66 support will negate this expectation and should see a stock price correction.

Source: RHB Securities Research - 16 Dec 2020