Supportline MI Technovation

first_imgMI TECHNOVATION Bhd has extended its recovery past the 50-day simple moving average (SMA) in a sign of improving sentiment. The stock, which experienced a sharp correction between April 26 and May 23, is seeing rising momentum as its recovery rally continues to pick up pace. Related News Markets 11 Jul 2019 KLCI extends consolidation on technical weakness, oil prices jump Support Line 11 Jul 2019 Support Line The short-term rally looks likely to continue as the share price travels ahead of the rising 14- and 21-day SMAs.However, the outlook on the daily price chart continues to be bearish as the moving averages remain at negative crossings to one another, reflecting the weakness in recent trading levels.At Wednesday’s crossing of the 50-day SMA, the share price now looks headed for the RM2 mark.Given Wednesday’s closing price of RM1.79, there remains some ground to cross before the share price tests the resistance, which bodes well for its advance over the immediate term.However, the resistance looks stiff as the 100-day SMA hovering nearby is likely to put downward pressure on the share price and put a cap on the advance. Consolidation will likely take place below RM2. Current support is pegged to RM1.65 while a fall below this point would take the share price to its recent low of RM1.45.The technical indicators are looking more positive, following their gradual return from oversold levels.The slow-stochastic momentum index is in a “buy” position as the per cent K oscillator crossed higher than the per cent K oscillator.The 14-day relative strength index is also bullish at 67 points, and looks en route to a crossing into overbought territory.The daily moving average convergence/divergence line remains steadily ascending. It is on the verge of crossing the zero line into positive territory, which suggests growing strength in the positive trend.The comments above do not represent a recommendation to buy or sell.Note: This article first appeared in StarBiz Premium yesterday. Tags / Keywords: Business News 08 Jun 2019 Eye On Stock – HUME Industries Bhd Support Line Related News {{category}} {{time}} {{title}}last_img

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