KUALA LUMPUR: CIMB Equities Research has a technical sell call on MALAYSIAN RESOURCES CORP [] Bhd (MRCB) at RM2.27 at which it is trading at a price-to-earnings for FY12 (FY12P/E) of 20.6 times and price-to-book value of 2.4 times.
The research house said on Friday, Aug 19 the recent rebound has taken prices back to its 62%Fibonacci Retracement (FR) levels of its fall from the RM2.60 high to the low of RM1.97.'' It added the huge gap at RM2.35-RM2.44 would also act as a resistance in the near term.
It added that MRCB's MACD remained in the negative territory while its RSI is also below the 50pts mark despite the recent sharp rebound.
'We think that the selling activities are about to resume,' it said.
CIMB Research said unless prices can overcome the gap mentioned above, it reckons that prices could fall to retest the RM1.97 levels in the near term. If that support gives way, it is probably looking at RM1.80 next.
The research house said on Friday, Aug 19 the recent rebound has taken prices back to its 62%Fibonacci Retracement (FR) levels of its fall from the RM2.60 high to the low of RM1.97.'' It added the huge gap at RM2.35-RM2.44 would also act as a resistance in the near term.
It added that MRCB's MACD remained in the negative territory while its RSI is also below the 50pts mark despite the recent sharp rebound.
'We think that the selling activities are about to resume,' it said.
CIMB Research said unless prices can overcome the gap mentioned above, it reckons that prices could fall to retest the RM1.97 levels in the near term. If that support gives way, it is probably looking at RM1.80 next.
No comments:
Post a Comment