KWG Group Holdings is poised for a technical breakout as it rebounded strongly above the 21-day average yesterday and hit the HKD2.00 threshold.
As the stock charts a bullish candlestick with high trading volume, this suggests strong buying interest may persist and push the stock past the resistance level. If a breakout happens, the stock may propel northwards towards the HKD2.20 resistance, followed by HKD2.50. On the other hand, falling below the HKD1.65 immediate support will attract selling interest and pull the stock below the average line.
RHB Research also cited that CIFI Holdings (Group) is set propel higher after it broke past the HKD1.40 immediate resistance yesterday on stronger trading volume – forming a “higher high” bullish pattern.
It underwent a consolidation between the HKD1.00 support and HKD1.40 resistance while staying above the 21-day average line recently. A bullish bias above the recent breakout level may see the stock travel towards the HKD1.80 resistance, then HKD2.10. Conversely, the stock may reverse direction if it falls below the HKD1.00 support, forming a “lower low” bearish pattern.
