Highlights / Stock Picks of the Day - MISC Berhad ("MISC")

Despite its two-year long downtrend, we are beginning to see some bright spots in MISC from a short term technical perspective. On Monday, MISC rose 23 sen to RM4.30 to form a "Long White" candlestick. The
single day surge also resulted in a trend line break. Additionally, the MACD Histogram has expanded into positive territory while the 14-day Stochastic and RSI have also hooked upwards. The readings seem to
suggest that selling pressure is waning and we believe that a new trend may be developing. We believe that the strengthening momentum should be able to carry the share price towards RM4.50 and possibly RM4.85,
although we suggest that bargain hunters looking to buy into MISC to wait for a retreat towards the RM4.12 resistance-turned-support level before doing so.  A stop-loss of RM3.90 should also be placed.

Source: Kenanga