The buying activity was slowing down in the afternoon session however I discovered the buying activity was restarted again after 4pm. FBM KLCI successfully broke the resistance 1270 today and closed at 1271.15. Total market volume increased by about 3.7% with 855 million shares traded. The market participation still consider low as the volume still below 40 days volume moving average. Right now 1270 level became the support of FBM KLCI. Can it sit firm above 1270 tomorrow? All these depend on market sentiment in the next few days. Anyhow it is a good time to re-enter the market today after been sold off for a few days.
Stocks that I mentioned in the Mid-Day already broke out. Are they able to sit firm is another question. As I mentioned above, we have to see the overall market sentiment.
Adventa - Double breaks for Adventa today, well done. It broke 2.26 in the morning and continues its trend to break 2.42 near the closing. It closed at historical high at 2.44. I saw some resistance at 2.45 but I believe it is not a big problem for it to break if the market sentiment remains like today.
Supermx- Supermx really a Super Man again. It broke the trend line resistance at 4.01 and marginally sits above it at 4.02. The volume for Supermx is slightly insufficient today. We hope that the buying volume for tomorrow can be much higher, otherwise it might return to below 4.01.
Sapcres - The stock price not really grow like Supermx and Adventa, only up 2.64% and closed at 2.33. It broke the short-term resistance at 2.31 and able stay above it today. As I mentioned in the mid day, there are many investors who stuck at July 2007 as well as those already make profit wanted exit at this price. However I took a close look at the buying activities, the buyers are much lesser than the sellers that line up to buy or sell. The good sign is the buyers who did not line up to buy the stock just took the seller price 2.33 aggressively toward the closing. So what it tells us? The next resistance I saw is 2.35. Although the volume for today is above 40 days VMA, but I hope it can increase further tomorrow in order for the trend to continue. By analysing the chart, there are much stronger resistances at 2.40, 2,50 and 2.70.
Others potential stocks
KPJ - Resistances 5.14 and 5.23 had been broken and closed at historical high 5.32. Buying volume continuous increase for 2 days. Support is about 5.14.
IJMLand - Volume increase but still not enough. Watch for break out 2.40 but the resistance very strong above 2.40 to 2.65. Good buy only if the volume continues to increase.
Mudajya - My favourite counter fly again. It broke out resistance 4.48 and closed at 4.58. The only problem is low volume for today. The next resistance is 4.60 and the support is 4.48.
Latexx - Latexx is another company has technical position like Adventa and Supermx. Watch for break out at 2.75 and 2.82. The only problem is the volume insufficient.
There are many other stocks rebounded and have technical position today but difficult to mention them. Good counters like WCT, Genting, E&O, Hiaptek and Unisem are worth to take a close monitor. The plantation index look good, also take a look at some plantation counters.
