Having broken below the RM1.58 “Resistance-Turned-Support”
at the end of last week, UOA Development ("UOAD") extended its loss
on Monday to close at RM1.51 for a 3 sen decline. The share price is now a
whisker away from the upward sloping trendline at RM1.50, a crucial support
that had been tested on six separate occasions. At this level, we would expect some
degree of bargain hunting, and a possible rebound should the support hold up
against further selling pressure. That said, confirmation of a bullish reversal
is required before we advocate a buy on the stock. On the flipside, a decisive
violation of the trend line would signal the end up the uptrend and hence
traders should continue watching the stock closely.
Source: Kenanga
No comments:
Post a Comment