Tuesday, February 23, 2010

Maxis & MPHB- stocks to watch

Maxis has a strong rally today. It closed at RM5.49 after making a high of RM5.50. Volume traded was above average at 9.6 million units. The RM5.50 level is the high for this stock since its listing on November 19. An upside breakout above RM5.00 could signal the beginning of the uptrend for Maxis.


Chart 1: Maxis's daily chart as at Feb 23, 2010 (Source: Quickcharts)

MPHB has been in a medium-term downtrend line since October last year. An upside breakout above the downtrend line resistance at RM1.93 could also signal the continuation of the prior uptrend for this stock. MPHB closed at RM1.93 on volume of 3.0 million shares- the highest volume traded in the past 3 months.


Chart 2: MPHB's daily chart as at Feb 22, 2010 (Source: Tradesignum)

Based on the above, Maxis & MPHB could become good trading BUY candidates tomorrow.

Note: Maxis's recent high & breakout level were wrongly stated as RM5.00 earlier. It has been re-stated as RM5.50. (Hat Tip to John for pointing out the error.)
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2 comments:

  1. JYWednesday, February 24, 2010 10:48:00 AM

    Hi Alex

    I think you meant RM5.50 for maxis not RM5.00?

    By the way is Magnum4D now a 100% subsidiary of MPHB? Magnum4D jackpot is hitting RM30m creating the largest in M'sian history if not mistaken. Will this be a catalyst to MPHB's price and a threat to BJTOTO?

    Cheers

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  2. Alex LuWednesday, February 24, 2010 10:58:00 AM

    Hi John,

    Thanks for pointing out the error in Maxis's breakout level. I will amend the price in the post accordingly (to avoid confusion).

    Magnum is a 51%-owned subsidiary of MPHB. The big jackpot will likely to draw in more customers and would drive up Magnum as well as MPHB's earning.

    ReplyDelete