Sunway had a very big move on last Friday when it gained 12.5 sen to close at RM0.57 (see Chart 1). This was followed by another big gain of 11.0 sen to RM0.68 at the close of this morning session. As a consequence, it has broken above its medium-term uptrend line at RM0.58. At the same time, it has also broken above its strong horizontal resistance at RM0.60 (see Chart 2). With these breakouts, Sunway is very likely to be on an upward movement going forward. Nevertheless, 2 days of big gain would be a deterrent to many who want to make an entry into this stock. If the stock comes under correction, I believe RM0.60 could be a good entry level for this stock.
Chart 1: Sunway's daily chart as at Jan 12
Chart 2: Sunway's weekly chart as at Jan 12
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