Eastern Oriental may see a reversal sign, after it retraced from a recent high towards the 21-day SMA line recently. If the stock manages to move above its immediate resistance of MYR0.685 – forming a “higher low” price pattern – a bullish bias is expected to emerge. If this happens, the stock may travel higher towards the next resistance of MYR0.735, followed by the MYR0.775 hurdle. This expectation would be nullified if the stock falls below the MYR0.63 support level – also below its 21-day SMA line.

Source: RHB Securities Research - 9 Jun 2021