RHB Investment Bank Bhd (RHB Research) has identified SAM Engineering & Equipment (M) Bhd and Unisem (M) Bhd as its latest technical stock picks after both counters broke above key resistance levels, signalling potential for further gains.
RHB Research said SAM Engineering has strengthened its bullish momentum after closing above the RM4.75 resistance level on strong trading volume.
The research house noted that the breakout confirms a bullish setup, with the stock expected to climb towards its next resistance at RM5.05, followed by RM5.35 if buying momentum continues.
However, it cautioned that a decline below the RM4.40 support level would invalidate the bullish outlook.
Meanwhile, RHB Research said Unisem is regaining upside momentum after moving above its 21-day simple moving average (SMA) and completing a bullish breakout.
The stock closed above the RM4.65 resistance level, indicating that a bullish structure has emerged.
The research house expects the counter to advance towards RM4.90, with the potential to extend gains to RM5.15.
Nevertheless, RHB Research said the positive technical outlook would be negated if Unisem falls below the RM4.40 support level, which could signal the start of a correction.
