Scicom (MSC) is positioned for an upward rebound as it bounced off the 21-day SMA line, eyeing to climb towards the MYR1.19 immediate resistance, marking the consolidation phase.
RHB Research, in a note today (Aug 18), said if a breakout happens above that level, the sideways consolidation movement could turn to an uptrend and propel the stock towards the MYR1.30 mark, followed by the MYR1.40 threshold.
However, falling below the MYR1.10 support would indicate a downtrend, as it would form a “lower low” bearish pattern – trading below the 21-day SMA line.
Muhibbah Engineering is set for further gains as it surged higher yesterday following a recent breakout above the MYR0.70 level.
The accelerated bullish momentum may see the stock trend higher towards the MYR0.80 resistance, followed by the MYR0.85 next resistance. A drop below the MYR0.64 support – forming a fresh “lower low” bearish pattern – would dent sentiment and spark a downtrend.
