KUALA LUMPUR (Feb 10): CIMB Equities Research has a technical buy on KINSTEEL BHD [] at 56.5 sen at which it is trading at a price-to-book value of 0.7 times.
It said on Friday Kinsteel broke out of its bullish flag pattern yesterday on strong volume.
“We see this as a prelude to more upside ahead. If we are right, prices are likely to edge closer towards 60 sen and 63 sen soon. The 200-day SMA is also a magnet for prices,” it said.
CIMB Research said the indicators remain compelling. MACD signal line is still rising while RSI has also hooked upward.
“As long as prices stay above the RM0.525, any pullback is an opportunity to accumulate,” it said.
It said on Friday Kinsteel broke out of its bullish flag pattern yesterday on strong volume.
“We see this as a prelude to more upside ahead. If we are right, prices are likely to edge closer towards 60 sen and 63 sen soon. The 200-day SMA is also a magnet for prices,” it said.
CIMB Research said the indicators remain compelling. MACD signal line is still rising while RSI has also hooked upward.
“As long as prices stay above the RM0.525, any pullback is an opportunity to accumulate,” it said.
