KUALA LUMPUR (Dec 5): CIMB Equities Research has a technical buy on Proton Holdings at RM3.61 at which it is trading at a FY13 price-to-earnings of 16.4 times and price-to-book value of 0.4 times.
The research house said on Monday Proton broke out of its triangle resistance on Friday.
“The rally also lifted prices above its 200-day SMA. Looking at the chart, we think this uptrend still has legs. The next upswing is likely to push prices towards RM3.86 and RM4.00 next,” it said.
CIMB Research said the technical landscape remains compelling. MACD is hovering in the positive territory while RSI is also above the 50pts mark.
“Risk takers may take some position here. However, always put a stop at between RM3.36-RM3.23 in case this is a bull’s trap,” it said.
The research house said on Monday Proton broke out of its triangle resistance on Friday.
“The rally also lifted prices above its 200-day SMA. Looking at the chart, we think this uptrend still has legs. The next upswing is likely to push prices towards RM3.86 and RM4.00 next,” it said.
CIMB Research said the technical landscape remains compelling. MACD is hovering in the positive territory while RSI is also above the 50pts mark.
“Risk takers may take some position here. However, always put a stop at between RM3.36-RM3.23 in case this is a bull’s trap,” it said.
