Dow Jones: 26,075.30 pts (+369.21pts, +1.44%)
⬆ Resistance:  26900
⬇ Support:  25100

FBM KLCI: 1,591.84 pts (+8.59pts, +0.54%)
⬆ Resistance:  1630
⬇ Support:  1530

HSI Index: 25,727.41 pts (-482.75pts, -1.84%)
⬆ Resistance:  27400
⬇ Support:  25100

Crude Palm Oil: RM2,412 (+RM9, +0.37%)
⬆ Resistance:  2490
⬇ Support:  2310

Brent Oil: $43.24 (+$0.89, +2.10%)
⬆ Resistance:  44.6
⬇ Support:  40.5

Gold: $1,798.70 (-$5.34, -0.29%)
⬆ Resistance:  1860
⬇ Support:  1740

M+ Online Technical Focus - 13 Jul 20
Samchem Holdings Bhd: Chemical specialty player

Trading Catalyst
• Chemical distribution segment is well positioned to undertake the higher demand for pharmaceutical products that are used as active ingredients or excipients for the production of medicinal products.
• Key clientele includes well established oil & gas players such as ExxonMobil Chemical, Shell, Petronas and BASF.
• At current price of RM0.73, Samchem is trading at trailing-12-months (TTM) PE of 8.7x, which is below peers average in upper teens, suggesting some upside in our view.
• Technically, share price has breakout above the RM0.725 resistance, targeting RM0.81-RM0.87 with long term target at RM0.95.

Technical View

(i) SAMCHEM (S: RM0.68, R: RM0.81-0.87, LT TP:RM0.95, CL:RM0.675)

S: Support, R: Resistance, LT TP: Long term target price, CL: Cut loss

Source: Bloomberg, M+ Online

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