KUALA LUMPUR (Jan 14): AllianceDBS Research Yong Tai Bhd (Yongtai) had on Jan 11 crossed over the 39.5 sen hurdle to reach a high of 43 sen before settling at 42 sen (up 4.5 sen or 12.0%).

In its evening edition last Friday, the research house said the crossover of the 39.5 sen hurdle would likely see Yongtai trading upward with the next upside target pegged between 47 sen and 48 sen.

It said risk taking traders can establish a buying position at 40.5 sen on a small pullback.

“Once a buying position is established, a stop loss at 39 sen level must be placed for risk capital protection, and this 39 sen is to be followed by a trailing stop loss strategy.

“If you are prepared to take a trading loss risk of RM15 (excluding brokerage) for RM65 – RM75 potential profit, you may acquire 1,000 shares with a capital amount of RM405 assuming buying order is filled at 40.5 sen,” it said.