Investment Ideas: Stock Picks – Leform, SFP Tech Holdings
Leform is set to propel towards its 5-week high as it bounced off the 21-day SMA line, breaking above the MYR0.22 immediate resistance yesterday and forming a “higher high” bullish pattern.
RHB Retail Research today said the bullish bias above that breakout level may set the stock to climb towards the 5-week high of MYR0.24, followed by the MYR0.25 next resistance, ie 8 Feb’s high.
However, if the stock falls below the support of MYR0.20, our expectations would be negated.
SFP Tech Holdings is also likely set for an uptrend reversal after forming a “Morning Star” bullish reversal pattern yesterday, amid the breakout above the MYR2.47 level.
The uptrend reversal is expected to persist in the coming sessions, lifting the stock towards the MYR2.75 resistance, followed by the MYR2.90 next resistance.
If it drops below the MYR2.29 support, this may reverse the momentum as it will negate the bullish reversal pattern, forming a “lower low” bearish pattern.
