Highlights / Stock Picks of the Day - My EG Services Bhd ("MYEG")

MYEG has been trading in a descending triangle pattern since late August. On Friday, the share price rose 2 sen higher to RM0.755, which touched both the support and resistance levels of its descending triangle chart
pattern. Therefore, today’s closing will be very important to determine the breakout direction of the share price. A break below will signal a sell while a break above will signal a bullish reversal or sideways trading. On the indicators, the MACD has moved below the zero level in a downtrend since the start of the descending triangle, which indicates an increase in the selling momentum. However, Stochastic is picking up above the overbought level. With these contrasting signals, a break below the support at RM0.73 will trigger a sell call while a break above the resistance level of RM0.755 will denote a neutral call.

Source: Kenanga