XIAOMI is testing the 21-day SMA line, as it tried to undergo a bullish breakout.
RHB Retail Research, in a note today (Sept 11), said strong resistance was formed at the HKD12.14 level. If the stock breaches above the SMA line and breaks past the immediate resistance, a bullish bias should emerge.
Expect fresh buying momentum to propel the stock towards HKD13, followed by HKD14.
On the flip side, falling below the HKD11.50 support will nullify the expectation and spark a correction.
The bullish trajectory on Zhuzhou CRRC Times Electric could be extended after it surged past the key resistance on strong volume.
The stock has crossed above the HKD28.50 resistance, forming a fresh “higher high”. This, coupled with the 21-day SMA line curving upwards, indicates that there is an upside risk.
The stock should climb towards the next resistance of HKD31, followed by HKD33.
Towards the downside, breaching below the HKD27 support will negate the bullish setup.
