Support Line

Careplus Group shares were generally in consolidation mode since peaking temporarily at a near 14-month high of 44.5 sen on June 9. Although the stochastic and the 14-day relative strength index are showing a tentative ticking-up pictogram at the mid-range, the moving average convergence/divergence histogram is expanding negatively against the signal line to keep the sell call. On the back of a mixed landscape, the stock is likely to be trapped in extended correction. A decisive breach of the 44.5 sen barrier will lead to a re-test of the historical apex of 61 sen. However, a slip below the 37.5 sen floor will see the lower 50-day simple moving average of 35.5 sen become much weaker.

PESONA Metro turned range-bound on consolidation after rebounding slightly from the four-month lows of 60.5 sen in late May. Except for the stochastic, which is sliding, other indicators such as the moving average convergence/divergence histogram and the 14-day relative strength index are rising gradually, offering investors a ray of hope. Initial resistance is at 68 sen and a clear breakout of the next upper hurdle of 73.5 sen will signal the resumption of an uptrend, targeting the RM1-RM1.02 area in the medium term. Important support is pegged at 60 sen.