TMI's short-term weakness over?

TMI was listed on April 28th, where it opened at RM8.05 & closed that day RM7.55 (while making a high of RM8.20 & a low of RM7.45). For the next 9 days, the share price drifted lower . At the lowest point, it was trading at only RM7.00- a good 85 sen below its reference price of RM7.85.

In the latest issue of the Edge newsletter, we have an interesting interview with Datuk Jamaludin Ibrahim, the CEO of TMI. The article entitled 'Used to all kinds of pressure' has yet to be posted onto the newsletter's website. When it is finally posted, it should appear under the Corporate section- so look out for it. Jamuludin spoke with confident about the potential of TMI and this must have rubbed off on many investors. Today, we see TMI share price breaking above its short-term horizontal resistance at RM7.35 at 11.12 am. While the available data is too few for reliable technical analysis, I believe that TMI share price is likely to firm upward from hereon. In the event of weakness, TMI should find support at the RM7.35 level.



Chart: TMI's daily chart as at May 9, 2008 (courtesy of Quickcharts)