Landmrk has a bullish breakout

Landmark has just announced that its indirect 74%-owned subsidiary, Bintan Treasure Bay Pte Ltd has signed an agreement with PT Wisata Hiburia to designate a piece of land owned by the former & located on Bintan Island, Indonesia as an international Exclusive Integrated Tourism Zone (EITZ). The land would be zoned for medical tourism, gaming and information technology hosting and would comprise an integrated resort, commercial and residential properties.

This announcement has been anticipated by investors and it could be one of the main reasons why Genting has taken a stake in Landmark. It is interesting to note that Genting, via Genting International, is currently developing the Resorts World at Sentosa, one of the two huge integrated resorts development, that was approved by the Singapore Government in 2006. Resorts World at Sentosa will feature a 15,000-square-meter casino with about 300 tables & 2,500 gaming machines.

From the chart, we can see that the stock was holding quite well despite the recent market sell-off. It has broken to the upside of the short-term downtrend line at RM2.90. Today, the share- boosted by this announcement- has also broken above the strong horizontal resistance of RM3.10. It may test its recent high of RM3.60 soon.

On weakness, Landmark could be a good Trading Buy at RM3.00-3.10.


Chart 1: Landmrk's daily chart as at January 24 (courtesy of Quickcharts)



Chart 2: Landmrk's weekly chart as at January 24 (courtesy of Quickcharts)