KUALA LUMPUR (Jan 10): CIMB Equities Research has a technical buy on Zelan Corp at 39 sen at which it is trading at a price-to-book value of 1.5 times.
It said on Tuesday Zelan swung above its wedge resistance and 200-day SMA on Monday, suggesting that the consolidation from October 2011 is likely over.
“The next upleg is likely to push prices higher towards 41 sen to 42.5 sen levels.
“Technical landscape is improving. MACD signal line has staged a golden cross while RSI is also rising. The bulls seem to have the upper hand here as the candles are trading above all its key moving averages,” it said.
CIMB Research said traders may start to take some position here. However, always put a stop between 37.5 sen and 36 sen depending on one’s risk appetite.
It said on Tuesday Zelan swung above its wedge resistance and 200-day SMA on Monday, suggesting that the consolidation from October 2011 is likely over.
“The next upleg is likely to push prices higher towards 41 sen to 42.5 sen levels.
“Technical landscape is improving. MACD signal line has staged a golden cross while RSI is also rising. The bulls seem to have the upper hand here as the candles are trading above all its key moving averages,” it said.
CIMB Research said traders may start to take some position here. However, always put a stop between 37.5 sen and 36 sen depending on one’s risk appetite.
