Wednesday, July 06, 2011

MRCB- on the verge of a bullish breakout

MRCB is on the verge of breaking above its medium-term downtrend line resistance at RM2.30. If that were to happen, we could see the continuation of its prior uptrend.


Chart 1: MRCB's daily chart as at July 6, 2011_11.00am (Source: Quickcharts)

Based on the weekly chart, we can see that the long-term downtrend line resistance is also at RM2.30. Immediately above that level is the horizontal line RM2.35. If MRCB can break above these 2 resistance levels, it may test the next resistance at RM2.75 & thereafter the 2008 high of RM3.00-3.05.


Chart 2: MRCB's weekly chart as at July 6, 2011_11.00am (Source: Quickcharts)

Based on technical consideration, MRCB could be a good trading BUY if it can break above the RM2.30 resistance on convincing volume.
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2 comments:

  1. winnerWednesday, July 06, 2011 6:50:00 PM

    MRCB hit high of 2.33 and closed at 2.30 with 118,700 shares transacted. On 4/7, OSK has a call for trading buy at RM2.20 with fair value of RM2.58.

    MRCB involvment in "River of Life" project may bring some interest to this counter in short term.

    ReplyDelete
  2. Alex LuThursday, July 07, 2011 12:27:00 PM

    Hi winner,

    Thanks for sharing.

    ReplyDelete