MISC- a strong counter-trend rally meets a strong resistance

One of the top performing stock for the past 2 months is MISC. I've posted on MISC breaking its long-term uptrend line on May 25 (here). A break of the long-term uptrend line is a SELL but the stock found support at the horizontal line at RM6.60-6.65 & staged a very good rebound- albeit on relatively thin volume. Could the rebound be purely technical or is it backed by fundamental reasons, such as better performance for its shipping business (maybe more demand for LPG) or more contracts secured by its subsidiary, MHB (here)?

Based on the chart below, we can see that MISC is now knocking against the downside of the symmetrical triangle (at RM8.00) which it had violated in May. As always, a support which had been violated would automatically turned into a resistance. A strong support would in turn become a strong resistance. As such, I expect MISC would have a challenging time breaking above the RM8.00 resistance. If our earlier SELL call on MISC is correct, then this is a good time to exit MISC, if you are holding the stock.


Chart: MISC's weekly chart as at July 18, 2011_plotted on log scale (Source: Tradesignum)