KLK to re-test its recent high?

One stock that has recovered very well after the recent selldown is KLK. From a low of RM10.80, the stock is now poised to challenge its short-term downtrend line at RM12.90/13.00. At the time of writing this post (10.15 am), the share price is at RM12.90. A break above RM13.00 could see this stock re-testing its recent high of RM14.00.


Chart 1: KLK's daily chart as at September 20 (courtesy of Quickcharts)



Chart 2: KLK's weekly chart as at September 20 (courtesy of Quickcharts)

For the aggressive traders, you can try KLK-CA or KLK-CD, which are at RM0.88 & RM0.08, respectively (as at 10.20 am). The former has an exercise price of RM9.27; exercise ratio of 4:1; and, expiring on Nov 16. The latter has an exercise price of RM13.90; exercise ratio of 10:1; and, expiring on Jan 17. At the said price, KLK-CA is trading at parity while KLK-CD is trading at a premium of 14%.