Thursday, March 10, 2011

Ta Ann slips as profit taking picks up pace

KUALA LUMPUR: Ta Ann Holding Bhd's share price fell in late morning on Thursday, March 10 as profit taking on the timber stock picked pace after the recent 52-week high of RM5.39.

At 10.50am, it was down eight sen to RM4.72 with 10,800 shares done.

The FBM KLCI fell 7.05 points to 1,516.64. Turnover was 376.69 million shares done valued at RM335.55 million. There were 144 gainers, 368 losers and 222 stocks unchanged.

CIMB Equities Research said it had a Sell at RM4.80.

It said the recent breakout looked more like a fake-out. After hitting a new 52-week high of RM5.39, prices have been on a descending trend, suggesting that the bears are gaining pace fast.

'If the 200-day SMA support (now at RM4.65) is breached, we expect renewed selling pressure to set in, pushing prices lower towards RM4.35 and RM4 next.

'Near term gains are likely capped at RM4.84-RM5.02. Hence, our strategy here is to unload on strength. But a buy stop at RM5.15, just in case,' it said.

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