KUALA LUMPUR (Feb 9): CIMB Equities Research has a technical buy on YTL Power International at RM1.84 at which it is trading at a FY13 price-to-earnings of 10.8 times and price-to-book value of 1.5 times.
It said on Thursday that the stock appears to have formed an ascending triangle, which is a bullish pattern.
“We believe that prices are ripe to breakout of this consolidation pattern soon,” it said.
CIMB Equities Research said traders should accumulate on weakness with a very tight stop placed below RM1.81.
“This breakout is likely to take prices back up towards its 38% Fibonacci retracement level of RM1.98. We would not discount that it could even reach RM2.09, its 50% Fibonacci Retracement if the RM1.98 level is breached,” it said.
It said on Thursday that the stock appears to have formed an ascending triangle, which is a bullish pattern.
“We believe that prices are ripe to breakout of this consolidation pattern soon,” it said.
CIMB Equities Research said traders should accumulate on weakness with a very tight stop placed below RM1.81.
“This breakout is likely to take prices back up towards its 38% Fibonacci retracement level of RM1.98. We would not discount that it could even reach RM2.09, its 50% Fibonacci Retracement if the RM1.98 level is breached,” it said.
