Tuesday, March 29, 2011

CIMB Retail Research: Media Chinese rally could be ending

KUALA LUMPUR:'' CIMB Retail Research said Media Chinese International broke below its triangle support on Monday, March 28.

'This is a worrying sign as it may signal the end of its rally from the February's low. Prices would likely stay lethargic over the next few days as the bears gain strength,' it said on Tuesday in its technical outlook.

CIMB Research said the indicators were showing signs of exhaustion. MACD histogram bars are losing pace while RSI has also dwindled below the overbought territory.

'The odds now favour the bears. Hence, selling into strength is likely the best strategy here. However, put a buy stop at RM1.24, just in case. Support is seen at RM1.05 and 98.5 sen,' it said.

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