KUALA LUMPUR: CIMB Equities Research has a technical buy on Adventa at RM1.67 at which it is trading at a FY12 price-to-earnings of 12.8 times and price-to-book value of 1.1 times.
It said on Friday, Oct 21 Adventa broke out of its bullish wedge pattern on Thursday. The run-up also lifted prices above its 50-day SMA.
“Looking at the chart, we think there is still room to the upside. Prices are likely to charge towards RM1.80 and RM1.93 in the near term. If these levels are taken out, the 200-day SMA (at RM2.08) will be the following target,” it said.
CIMB Research said the technical landscape is improving. MACD signal line has bounced off its lows while RSI has also hooked upward.
It added that risk takers may start to nibble now. However, always put a stop at below the RM1.60-1.54 levels, just in case.
It said on Friday, Oct 21 Adventa broke out of its bullish wedge pattern on Thursday. The run-up also lifted prices above its 50-day SMA.
“Looking at the chart, we think there is still room to the upside. Prices are likely to charge towards RM1.80 and RM1.93 in the near term. If these levels are taken out, the 200-day SMA (at RM2.08) will be the following target,” it said.
CIMB Research said the technical landscape is improving. MACD signal line has bounced off its lows while RSI has also hooked upward.
It added that risk takers may start to nibble now. However, always put a stop at below the RM1.60-1.54 levels, just in case.
