KUALA LUMPUR (March 2): CIMB Equities Research has a technical buy on QL Resources at RM3.28 at which it is trading at a price-to-book value of 2.0 times.
It said on Friday that QL Resources has been consolidating in a triangle pattern for the past few weeks.
“We think that the stock is ripe for a stronger rebound. If the candles can push above the RM3.33 level, there is a good chance that prices may re-rate towards RM3.40, RM3.50 and RM3.70,” it said.
CIMB Research said that the MACD signal line is flattening while RSI is gyrating near the 50pts mark.
“We think these are just reflections of its earlier consolidation,” it said.
The research house said traders may join the buying bandwagon once the candles push above the RM3.33 level. Always put a stop at RM3.23 to limit downside risk.
It said on Friday that QL Resources has been consolidating in a triangle pattern for the past few weeks.
“We think that the stock is ripe for a stronger rebound. If the candles can push above the RM3.33 level, there is a good chance that prices may re-rate towards RM3.40, RM3.50 and RM3.70,” it said.
CIMB Research said that the MACD signal line is flattening while RSI is gyrating near the 50pts mark.
“We think these are just reflections of its earlier consolidation,” it said.
The research house said traders may join the buying bandwagon once the candles push above the RM3.33 level. Always put a stop at RM3.23 to limit downside risk.
