RHB Retail Research said Power Root Bhd is eyeing to print a new YTD high as it re-tested the immediate resistance of RM2.08 yesterday on strong trading volume – firming up its “higher low” bullish pattern above the 21-day average line.
In a trading stocks comment, the research house said that if a breakout happens above that level, the renewed buying interest may drive the stock towards the RM2.15 resistance – the highest level since July 2020, before propelling further towards the RM2.36 – May 29, 2020’s high.
“If it falls below the RM2.00 support, the stock may see a reversal, as it forms a “lower low” bearish pattern heading towards below the 21-day average line,” it said.
RHB Retail Research also cited that Shin Yang Shipping Corp Bhd is set to stage an uptrend reversal as it bounced off the 21-day average line yesterday while crossing above the 74 sen immediate resistance.
The research house said that coupled with strong volume and forming a “higher high”, the bullish bias above that level may propel the stock to the resistance level of 81.5 sen or Sept 23’s high, followed by 87.5 sen i.e. the high of Sept 12.
“However, the counter may reverse direction if it falls below the 66.5 sen support, negating the previous breakout level,” it said.
