Support Line

ABRIC tested the recent lows of 47 sen on March 10 to form a short-term “double bottom” pattern before turning up in moderate pace to reach a high of 51.5 sen during intra-day session yesterday. A breach of the uppermost 200-day simple moving average of 52.5 sen would give investors the confirmation that this stock is on a new leg of uptrend, en route to the 59-sen level. Another positive breakout of the previous rally peak of 64 sen would signal the resumption of recovery process, targeting the 75-sen barrier. As for the downside, pivotal support is pegged at the 47-sen line.

Eonmetall Group rose to a high of 41 sen during intra-day session, the best since September 2011, amid continuous bargain hunting nibbling. Technically, the stochastic momentum index and the 14-day relative strength index are painting a growing overbought condition, suggesting the bulls are likely to pause for a breather. However, investors can consider accumulating more on pullback as the recent breakout of the mid-term bearish descending line suggests that this stock is on the mend. Support is seen at the 32 sen-34 sen band while the medium-term target is set at the 58 sen-60 sen psychological level.