Tuesday, November 1, 2011

#Flash* CIMB Research has technical sell on Harvest Court Industries

KUALA LUMPUR (Nov 1): CIMB Equities Research has a technical sell on Harvest Court Industries at 40.5 sen at which it is trading at a price-to-book value of'' 2.3 times.

It said on Tuesday that Harvest Court may have hit its near term peak when prices reached the 47.5 sen high on Oct 28.

'If we are right, the bears should start to dominate from here. Once selling pressure unwinds, the next downleg will likely drag prices towards 38 sen, 34 sen and 27.5 sen next,' it said.

CIMB Research MACD histogram bars are beginning to flatten. RSI too is losing pace via a bearish divergence. These easing signs show that the stock is likely to correct soon.

'Sell into strength looks like a good option here, especially near the 43 sen level. Put a buy stop at 45 sen just in case,' it said.

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