Quick take: Binasat rises 5% on technical buy

KUALA LUMPUR: Binasat Communications Bhd’s shares rose over 5% in early trade Friday following a technical buy call from PublicInvest Research.

The counter climbed 5.06%, or two sen to 41.5 sen, its highest in over two weeks, with 11.8 million shares done.

PublicInvest said Binasat is staging a potential breakout from its current sideways channel.

The research house said the corresponding RSI and MACD indicators remained healthy while trending sideways, with anticipation of continuous improvement in both momentum and trend in the near term.

“Should immediate resistance level of 40.5 sen be broken with renewed buying interest, it may continue to lift price higher to subsequent resistance levels of 42.5 sen and 44.5 sen.

“However, failure to hold on to the support level of 39 sen may indicate weakness in the share price and hence, a cut-loss signal,” PublicInvest said, adding that the stop loss level is at 36.5 sen.