M+ Online Morning Market Buzz - 17 Aug 22

Dow Jones: 34,152.01 pts (+239.57pts, +0.71%)
⬆️ Resistance:  35000
⬇️ Support:  32500

FBM KLCI: 1,518.78 pts (+14.77pts, +0.98%)
⬆️ Resistance:  1550
⬇️ Support:  1470

HSI Index: 19,830.52 pts (-210.34pts, -1.05%)
⬆️ Resistance:  20700
⬇️ Support:  19100

Crude Palm Oil: RM4,141 (-RM41, -0.98%)
⬆️ Resistance:  4590
⬇️ Support:  3950

Brent Oil: $92.34 (-$2.76, -2.90%)
⬆️ Resistance:  102.40
⬇️ Support:  89.90

Gold: $1,775.69 (-$4.02, -0.23%)
⬆️ Resistance:  1850
⬇️ Support:  1740

M+ Online Technical Focus - 17 Aug 22
Ramssol Group Bhd: Leveraging into rising adoption of digital transformation

Trading Catalyst
• Engages as a human capital management (HCM) solution and technology specialist provider.
• To introduce innovative human resource technology solutions as well as to facilitate workplace digital transformation.
• Leveraging onto the rising adoption of digitalisation, with the group looking to expand into the education segment.
• Technically, price has formed a short-term flag-formation breakout above RM0.47 and may trend higher to target the next resistances at RM0.505-0.535 with long term target at RM0.60.

Technical View

(i) RAMSSOL (S: RM0.435, R: RM0.505-0.535, LT TP: RM0.60, CL: RM0.43)

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

Market update: The FBM KLCI staged a strong breakout, mainly fuelled by buying interest in the telecommunication heavyweights, coupled with the healthy inflow of foreign funds; 5-day net foreign buying stood at RM719.8m. While the global markets may keep an eye on UK’s inflation to gauge the global recession risk, we believe the local bourse should remained positive in the upcoming earnings season as the international border was uplifted in April. Commodities wise, both the crude oil and CPO trended lower, with the former trading around USD92 and the latter hovering slightly above RM4,100. 

Sector focus: As China’s weaker economic data earlier brought recession fears back to the spotlight, the energy sector may see some selling pressure along with the lower oil price. Meanwhile, investors may look at REIT and consumer stocks amid global uncertainties. Also, foreign funds may be eyeing on the telco and banking sectors.

Stocks to watch: 

Technology & Telco: AXIATA, FRONTKN, GENETEC, GREATEC, GTRONIC, INARI, LGMS, MMSV, MYEG, MYTECH, PENTA, RAMSSOL, VIS, YBS
Construction & Building material: CHINHIN, IJM
Consumer: FIAMMA, KAWAN
Furniture-related: ECOMATE
Transportation & Logistics: CJCEN, SWIFT
Property: SPSETIA, TAMBUN
Others:  CENGILD, RESINTC, RGTBHD, YTLPOWR

Source: M+ Online

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