rebounded for a second straight day on Tuesday as sentiment turned bullish on the stock.Overhead, the stock is looking at an immediate resistance of RM1.57.For the time-being, gains on the stock could be limited by the descending 21- and 50-day SMA. As such, the stock is expected to consolidate as it awaits stronger buying interest.
On the technical indices, the slow-stochastic has jumped up to 73 points while the 14-day relative strength index (RSI) has risen to 57 points.
Support is found at RM1.23 and RM1.05.
Amtel Holdings Bhd
rebounded strongly on Tuesday to mark a possible end to a steep correction phase.However, following the bounce the share price remains struggling at the 200-day SMA. A further day of share price increase would help to confirm the end of the correction.Immediate resistance is seen at RM1.02, a stiff hurdle given the descending 21- and 50-day SMAs nearby.
In the event of a positive breach, the stock sees next resistance at RM1.25.
The technical indicators suggest growing bullishness with the slow-stochastic rising out of oversold levels to 33 points. The RSI similarly returned from oversold and turned bullish at 56 points. Support for the stock is pegged to 86.5 sen and 77 sen.
Mestron Holdings Bhd
took a breather on Tuesday after a strong session of gains previously. The stock fell short of ending above the 21-day SMA, a crossing of which would indicate bullish sentiment.The correction that took place earlier in May was healthy, as it suggested profit-taking without reversing the positive outlook on the chart.
Going by the current momentum, the stock is poised to retrace its recent losses and resume its upward trajectory.
On the upper end of the chart, there is resistance in the 44 sen to 46 sen range, a crossing of which result in a new historical high. Immediate support is found at 39 sen while further support can be seen at 34.5 sen.
The slow-stochastic is bullish at 72 points while the RSI has risen to a bullish level of 55 points.
The comments above do not represent a recommendation to buy or sell.