Telekom Malaysia staged a breakout to set up for a major rebound yesterday as it formed a “Double Bottom” pattern recently. Coupled with higher trading volume, the bullish bias is expected to stay above the MYR5.80 immediate support level. With this, the strong momentum may continue to lift it towards the next resistance level at MYR6.00, followed by MYR6.25. However, this positive anticipation may be nullified if it falls below the MYR5.65 threshold.

Source: RHB Securities Research - 19 May 2021