Scomi Marine Berhad (SCOMIMR) provides marine vessel transportation services. Through its subsidiaries, its services include providing coal transportation to coal producers and offshore marine support services to the oil and gas operators and contractors.
Recommendation
SCOMIMR made a daily minor Wave 2 low of RM0.38 in July 2010 with grossly oversold signals. The recent steady price action above the 19 and 50-day moving averages and a firm golden cross buy signal indicate firm upside bias movement. Positive crossovers from its daily signals are also very supportive, indicating much further upside potential for SCOMIMR.
ACCUMULATE (TECHNICAL) on dips for SCOMIMR with its firm support areas of RM0.44 and RM0.51 and upside target areas of RM0.58 and RM0.66. Stop-loss is at RM0.42.
by Maybank Investment bank
