M+ Online Morning Market Buzz - 7Sep22

Dow Jones: 31,145.30 pts (-173.14pts, -0.55%)
⬆️ Resistance:  32700
⬇️ Support:  30500

FBM KLCI: 1,488.27 pts (-1.53pts, -0.10%)
⬆️ Resistance:  1540
⬇️ Support:  1460

HSI Index: 19,202.73 pts (-22.97pts, -0.12%)
⬆️ Resistance:  20600
⬇️ Support:  18700

Crude Palm Oil: RM3,800 (+RM3, +0.08%)
⬆️ Resistance:  4310
⬇️ Support:  3690

Brent Oil: $92.83 (-$2.91, -3.04%)
⬆️ Resistance:  102.50
⬇️ Support:  90.00

Gold: $1,702.14 (-$8.26, -0.48%)
⬆️ Resistance:  1770
⬇️ Support:  1660

M+ Online Technical Focus - 7Sep22
VisDynamics Holdings Bhd: Leveraging on semiconductor industry boom

Trading Catalyst
• Engages in the provision of equipment solution to the semiconductor assembly & test industry with standalone or integrated package handling, electrical test, inspection, tape & reel using their own proprietary technologies.
• To leverage onto the strengthening of USD against RM as bulk of their products are exported to overseas, mainly to North Asia and South East Asia.
• Counts several institutional funds such as Public Emerging Opportunities Fund, Areca Equity Growth Fund, Areca Dividend Income Fund, KAF Core Income Fund and among others in their top 30 major shareholders list.
• Technically, traders may anticipate further recovery to target the next resistances at RM0.78-0.81, with long term target at RM0.87.

Technical View

(i) VIS (S: RM0.695, R: RM0.78-0.81, LT TP: RM0.87, CL: RM0.69)

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

Market update: The FBM KLCI extended its’ losing streak for the fourth straight session as final hour profit-taking activities dragged the key index lower. Global markets outlook remained uncertain amid growing investors’ fear on aggressive interest rate hike following a stronger economic data in the US, as well as a resurgence in China’s Covid-19 stringent measures. Commodities wise, the crude oil price staged a pullback, trading around USD92, while the crude palm oil traded around RM3,800.   

Sector focus: Although bargain hunting activities were noticed on the technology counters yesterday, downside risk remain in place amid the extended downtrend on Wall Street Nasdaq. Besides, the decline in crude oil price could weigh on the energy sector. Nevertheless, we believe solid consumer stocks, as well as banking sector should remain stable.  

Stocks to watch:
 
Consumer: KAWAN, PADINI, 3A  Construction & Building Material : GAMUDA, AYS 
Transportation & Logistics : POS, SWIFT, SYSCORP 
Technology: UWC, VIS, MMSV, SCICOM 
Others: SCOMNET, YBS, LAGENDA, HEXTAR  

Source: M+ Online

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