Alliance Bank Malaysia Bhd
bounced off the 200-day simple moving average (SMA) line yesterday following a steep correction earlier in the week.
There are mixed signals in the indicators, suggesting the start of a consolidation phase.
The slow-stochastic is continuing its descent into oversold territory, but the 14-day relative strength index (RSI) is perking up in oversold conditions towards the 30-point line.
The daily moving average convergence/divergence (MACD) histogram is charting longer negative bars to reflect the negative momentum.
Resistance is seen at RM5.04 with a higher price target at the recent high of RM5.40.
Support can be found at RM4.54 and RM4.25.
Bermaz Auto Bhd is seeing some recovery to the 50-day SMA line in a reprieve from its eight-month slide.
The share's progression is stalling as the slow-stochastic has neutralised from overbought territory, although the other indicators are showing continued bullishness.
The RSI is robust at 51 points while the MACD histogram continues to display rising momentum.
In the event of a continued retracement, the share is looking at resistance levels of RM1.56 and RM1.92.
Support levels are seen at RM1 and 82.5 sen.
Tanco Holdings Bhd is continuing its recovery towards a historical high achieved in January this year.
The share closed above the 50-day SMA on Tuesday, indicating a return of bullish sentiment.
The bullish momentum continues to grow on the technical indices although the slow-stochastic is flashing an overbought signal.
The RSI has risen to 63 points, and the MACD histogram continues to chart an increasingly positive path.
Support for the share is pegged to RM1.68, while a lower support is pegged to RM1.20.
The comments above do not represent a recommendation to buy or sell.
