MEMS has a bullish breakout

Mems was in a downtrend since making a high of RM1.06 in w/e Jan 21, 2005. The downtrend line was only broken when the share price broke above the RM0.50 level in w/e Apr 7, 2006 (see Chart 1 below).

Thereafter, the share price slided back & has been trapped in an ascending triangle for the past 1 to 2 months (see Chart 2 below). A break above the RM0.495/0.50 level could signal the beginning of an uptrend for this stock. This morning, the share price has broken above RM0.50 level & hit a high of RM0.52, just before 11.00 a.m. At the time this post is written, the share price has eased back to RM0.49/0.495. If the share closed at RM0.495/0.50 today & can maintain at this level over the next day or two, I believe a bullish break of the ascending triangle has been achieved. The outlook for this stock would be positive.

















Chart 1: Mems' weekly chart as at August 11

















Chart 2: Mems' daily chart as at August 11