Dufu Technology overcame minor congestion on strong volume yesterday, and decisively crossed above its downtrend line that stretched from the high of Aug 2020. This points to a likely completion of the multi-month correction phase, and indicates that the stock may be extending its uptrend. A positive bias may appear above MYR3.30, with resistance levels set at MYR3.65, followed by MYR4.00. A downside breach of MYR3.30 would cancel this forecast.

Source: RHB Securities Research - 5 Jan 2021