Sep 29, 2015

Top Glove – Technical Buy

Top Glove Stock Code:  7113  Target Price:  RM8.50

top glove technical analysisTopGlove daily Chart (click to enlarge) 

TOPGLOV’s share price retreated slightly by 1.4% to close at RM7.99. In terms of chart outlook, the share price has formed a descending triangle pattern, in which we expect a potential rebound in share price should it break out from the triangle pattern. Meanwhile, negative key indicators were noted, with both RSI and Stochastic Indicator heading downwards. Although MACD remains below its positive Signal line, it is picking up, suggesting a possible reversal in trend. Hence, we are looking for breakout from the triangle pattern which is also a good entry point for investors to accumulate the stock with the target price of RM8.50 (R2), while a strict stop-loss is placed at RM7.68 (S2).

by Kenanga Research 29/09/15

The principal activities of the Company are investment holding and the provision of management services. The principal activities of the subsidiaries are manufacture and trading of gloves and property investment