Signature International has been trending higher lately. However, it pulled back to form a higher low last Friday. Observe that the uptrend is accompanied by higher trading volume, indicating strong buying interest. If the stock crosses the resistance marked at MYR0.50, a bullish momentum will emerge and see the share price scale higher to test the next hurdle at MYR0.53, followed by MYR0.59. A downside breach of the MYR0.44 support would negate this expectation, and should see a stock price correction.

Source: RHB Securities Research - 2 Feb 2021