M+ Online Morning Market Buzz - 1Sep21

Dow Jones: 35,360.73 pts (-39.11pts, -0.11%)
⬆ Resistance:  36300
⬇ Support:  34600

FBM KLCI: 1,601.38 pts (+11.22pts, +0.71%)
⬆ Resistance:  1640
⬇ Support:  1530

HSI Index: 25,878.99 pts (+339.45pts, +1.33%)
⬆ Resistance:  26600
⬇ Support:  24700

Crude Palm Oil: RM4,254 (-RM79, -1.82%)
⬆ Resistance:  4510
⬇ Support:  4160

Brent Oil: $72.99 (-$0.42, -0.57%)
⬆ Resistance:  75.20
⬇ Support:  69.10

Gold: $1,813.62 (+$3.28, +0.18%)
⬆ Resistance:  1860
⬇ Support:  1750

M+ Online Technical Focus - 1Sep21
Ge-Shen Corporation Bhd: Floor space expansion to capture rising demand

Trading Catalyst
• Equipped with 4 factories in Malaysia and Vietnam and 1 sales office in Singapore, comprising 203 injection moulding machines and 78 metal fabrication machines in 2Q21.
• Relatively large-scale expansion of additional 100,000 clean room and control rooms at Johor and Penang has boosted the manufacturing capacity in Johor and Penang by approximately 20.0% and 10.0% respectively.
• Sales growth to be underpin by sustainable demand, coupled with the upliftment of 60% workforce restrictions recently. 
• Technically, price has formed a short-term resistance breakout above RM1.67, targeting the next resistances at RM1.77-1.85 with long term target set at RM2.00.

Technical View

(i) GESHEN (S: RM1.55, R: RM1.77-1.85, LT TP: RM2.00, CL: RM1.54)

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

Source: Bloomberg, M+ Online

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