Thursday, April 28, 2011

CIMB Research has Buy on Land & General

KUALA LUMPUR: CIMB Equities Research has a Buy on Land & General at 47.5 sen where it is trading at a price-to-book value of 1.1 times.

The research house said on Thursday, April 28 that it sees a triangle pattern forming, just like AFG above but on a slightly larger scale.

'This triangle took more than 2 years and it is not yet complete. It needs one more pullback before it can breakout of its consolidation phase,' it said.

CIMB Research said both its MACD and RSI have flattened out, possibly suggesting that the pullback could be taking place soon.

'Traders should do well buying on weakness here, preferably near the moving averages currently at RM0.45-0.46. As long as the low of 42 sen is not taken out, this pattern holds. A breakout above 50.5 sen would likely signal that the breakout run is taking place and it could reach as high as 63.5 sen to 65 sen if the 58.5 sen resistance is breached,' it said.

No comments:

Post a Comment