MediaC may have a bullish breakout

MediaC broke above its recent high (or horizontal resistance) at RM1.24 today. If we assume that the upside move is equal to the distance between the breakout level (RM1.24) & the nearest upport level (RM1.00), then the target for this rally would be about RM1.38.


Chart 1: MediaC's 60-min chart as at May 10, 2011 (Source: Quickcharts)

From the weekly chart below, we can see that MediaC has rallied stringly since early 2010. The stock has been capped by the long-term downtrend line (RR) at RM1.24-1.25. If it can break above this level, it could potentially test the strong resistance at RM1.50.


Chart 2: MediaC's weekly chart as at May 10, 2011_log scale (Source: Tradesignum)

Based on technical analysis, MediaC could be a good trading BUY if the upside breakout can sustain.

Note: The upside target of the developing rally is RM1.38 (which was earlier stated as RM1.28).