Feb 23, 2016

Sarawak Cable - Trading Buy

SCable  Stock Code : 5170   Target Price RM1.84

SCABLE  Limelight is shining again on SCABLE, with the Sarawak State Election approaching soon sometime in March. The share price garnered strong investors' interest during yesterday’s trading session, surging 13.0 sen (8.44%) to close at RM1.67 on high trading volume. From a technical perspective, the share price is staging a rebound play from its recent consolidation phase as it settled above all its key SMA levels. MACD has staged a bullish crossover, while RSI and Stochastic have hooked up strongly to trigger a buy signal. From here, we are placing a ‘Buy’ call on this stock while expecting the share price to ride on its bullish momentum to move higher towards its immediate resistance level of RM1.77 (R1) before looking to take profit 3 bids below its previous high level of RM1.87 (R2) at RM1.84. Downside support can be found at RM1.58 (S1) followed by RM1.46 (S2), while a strict stop loss is placed at RM1.55 (3 bids below RM1.58 level).

Sarawak cable - SCable anaysis

source: Kenanga Research - 23/02/2016

The Grouop is mainly involved in the manufacture and sale of power cables and wires in Sarawak East Malaysia