Highlights / Stock Picks of the Day Time Dotcom Berhad ("TIMECOM")

On Monday, TIMECOM broke out of the short term trend channel to end at RM3.46 on increased volumes. The single day 16 sen surge also saw its share price penetrating the 50- and 100-day SMAs. Indicator-wise, the MACD-Signal line has confirmed a golden crossover,  which indicates a shift of momentum from bearish to bullish. Accompanied by the rising Stochastics and RSI readings, TIMECOM's technical outlook has thus improved substantially. Furthermore, as the 14-day  RSI is still a fair distance from the overbought territory, we believe  that the share price may still have a further upside. Traders may look to buy into the stock with an immediate target price of RM3.60/63. Meanwhile, stop-loss should be placed just below the cluster of support levels at RM3.35/30.

Source: Kenanga