KUALA LUMPUR (Dec 6): CIMB Equities Research has a technical buy on HO WAH GENTING BHD [] [] (HWGB) at 37 sen at which it is trading at a price to book value of 1.7 times.
It said on Tuesday the rally off the 25 sen low does not look complete and the recent pullback from the 44 sen high appears corrective. Prices are building a base above its moving averages, which is a good sign.
The research house said the MACD is turning up again after testing the zero line while its RSI is also turning around, which are positive for the stock.
“As long as prices stay above the recent low of 33 sen, then prices could soon retest the 44 sen high again. The following resistance is at 47 sen, its 200-day SMA,” it said.
It said on Tuesday the rally off the 25 sen low does not look complete and the recent pullback from the 44 sen high appears corrective. Prices are building a base above its moving averages, which is a good sign.
The research house said the MACD is turning up again after testing the zero line while its RSI is also turning around, which are positive for the stock.
“As long as prices stay above the recent low of 33 sen, then prices could soon retest the 44 sen high again. The following resistance is at 47 sen, its 200-day SMA,” it said.
