Tuesday, 5 March 2013
Highlights / Stock Picks of the Day - UOA Development ("UOADEV") – Not Rated
UOADEV's share price has been relatively volatile over the past year. In mid 2012, the share price rallied as much as 59 sen to a high of RM1.94. The initial euphoria was, however, short lived; and UOADEV subsequently retreated to a low of RM1.49 within a span of just one month. Even so, the overall technical picture remained mildly bullish, and little by little, the share price continued to inch higher. Yesterday, UOADEV broke above a crucial resistance level after climbing 4 sen to RM1.88. The resistance breakout marks a technical milestone, and we reckon that the share price will likely continue towards RM1.94 (August 2012 high) where the next resistance level is located. Should the RM1.94 resistance be taken out next, further upside will then be expected towards RM2.08 (123.6% Fibonacci Projection Target Level).