Highlights / Stock Picks of the Day - Axiata Group Berhad ("AXIATA")

On the daily chart, AXIATA has formed a "Cup & Handle" chart pattern. In this case, this pattern resembles an "Ascending Triangle" where the share price is currently retesting the RM6.83 multi-month resistance. A decisive breakout above the aforementioned resistance will signal the start of a strong move towards a projected target price of RM7.88 (RM1.07 upside). Yesterday, AXIATA's share price rose 23 sen to RM6.81, just shy of the RM6.83 trigger level. However, given the pick-up in trading volume in the past few days, we reckon that it may be well worthwhile to watch the stock for a definitive breakout. Should a breakout occur, a stop-loss may be placed just below the "Handle" low of RM6.48 thereabouts.

Source: Kenanga