M+ Online Morning Market Buzz - 16 Nov 22

Dow Jones: 33,592.92 pts (+56.22pts, +0.17%)
⬆️ Resistance:  34700
⬇️ Support:  31900

FBM KLCI: 1,450.54 pts (-13.46pts, -0.92%)
⬆️ Resistance:  1500
⬇️ Support:  1420

HSI Index: 18,343.12 pts (+723.41pts, +4.11%)
⬆️ Resistance:  18800
⬇️ Support:  15700

Crude Palm Oil: RM4,088 (+RM22, +0.54%)
⬆️ Resistance:  4500
⬇️ Support:  3930

Brent Oil: $93.86 (+$0.72, +0.77%)
⬆️ Resistance:  98.90
⬇️ Support:  89.70

Gold: $1,778.94 (+$7.54, +0.43%)
⬆️ Resistance:  1830
⬇️ Support:  1670

M+ Online Technical Focus - 16 Nov 22
Duopharma Biotech Bhd: Leveraging onto increasing product distribution

Trading Catalyst
• Owns and operates 3 manufacturing plants in Klang, Bangi and Glenmarie, Selangor with a portfolio of more than 300 generic drugs.
• Product distribution agreement inked with SCM Lifescience Inc from South Korea and the tie-up with US-based food-tech company, The Live Green Co is expected to strengthen topline growth.
• To procure Biocon Sdn Bhd's insulin medicines to all Ministry of Health hospitals, district health offices and health clinics until 28th April 2025.
• Technically, traders may anticipate for a potential triangle formation breakout above RM1.42, targeting the next resistances at RM1.52-1.59 with long term target at RM1.78.

Technical View

(i) DPHARMA (S: RM1.31, R: RM1.52-1.58, LT TP: RM1.78, CL: RM1.30)

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

Market update: The FBM KLCI ended lower, underperforming the regional bourses as jittery sentiment prevailed ahead of GE15 and the foreign investors have turned net seller for the session. We believe the optimism from Wall Street overnight, which sparked by a cooler-than-expected October Producer Price Index in the US that signalled a cooler inflation environment may spilled over to the global stock markets. Nevertheless, local investors may remain cautious towards the GE15. Commodities wise, the crude oil price sustained above USD93 per barrel mark, while the CPO price hovered above RM4,050. 

Sector focus: The technology sector may gain momentum following a rebound in Wall Street Nasdaq overnight. Besides, selected building material, construction and property counters may trade higher ahead of GE15. Also, we like the consumer sector for its defensive characteristic.

Stocks to watch: 

Technology: GREATEC, QES
Consumer: BJFOOD, GCB, KTC, PADINI, PCCS, PELIKAN, SDS
Building material: EFRAME, MCEMENT, MSC, PMBTECH, PMETAL
Medical-related: DPHARMA, OPTIMAX
Furniture-related: ECOMATE, EVERGRN
Others: ECOWLD, NESTCON, PPJACK, TOYOVEN

Source: M+ Online

Disclaimer

The content published is solely for information and personal use only. It should not be construed to be, any advice, recommendation, offer or invitation to buy or sell any securities, futures contracts or any other instrument. Readers should seek independent advice from their own professional advisers (including legal, tax, financial and accounting) as to the risks and merits before entering into any transaction pursuant to or in reliance on any information here.

The content published above shall only be for your sole and personal non-professional use. No guarantee is given on the accuracy or completeness of the information published here. No warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person or group of persons acting on such information.