KUALA LUMPUR (Feb 13): CIMB Equities Research has a technical sell on Alliance Financial Group at RM3.88, at which it is trading at a FY13 price-to-earnings of 11.4 times and at a price-to-book value of 1.7 times.
The research house said on Monday the uptrend from its September 2011 low is probably over.
“Prices violated the 30-day SMA on Friday and we see this as a prelude to more downside ahead. If we are right, the candles should also fall below its 50-day SMA soon,” it said.
CIMB Research said the indicators are showing signs of exhaustion. The bearish divergence on its MACD shows that selling pressure is picking up. RSI has also hooked down.
“Any rebound towards RM3.91-RM3.96 is an opportunity to take profits. However, always put a buy stop at RM4.05, just in case. Support is at RM3.70 and RM3.57,” it said.
The research house said on Monday the uptrend from its September 2011 low is probably over.
“Prices violated the 30-day SMA on Friday and we see this as a prelude to more downside ahead. If we are right, the candles should also fall below its 50-day SMA soon,” it said.
CIMB Research said the indicators are showing signs of exhaustion. The bearish divergence on its MACD shows that selling pressure is picking up. RSI has also hooked down.
“Any rebound towards RM3.91-RM3.96 is an opportunity to take profits. However, always put a buy stop at RM4.05, just in case. Support is at RM3.70 and RM3.57,” it said.
