On the daily chart, DAGANG NEXCHANGE BERHAD (DNEX) demonstrates a prevailing bearish sentiment, as indicated by multiple key technical indicators. The 200-day Simple Moving Average (SMA) at 0.407 and the 62 SMA at 0.433 suggest long-term bullish support, but the 21 SMA at 0.472 indicates short-term bearish pressure. The RSI's position below the midpoint suggests increased selling pressure. Despite the MACD indicator currently signalling a potential uptrend at 0.002, we anticipate the bullishness weakening. DNEX's price is expected to challenge the support level at 0.43. A breach below this level could lead to a retest of the support at 0.38. Conversely, failure to breach the support at 0.43 may prompt a rebound, with the nearest resistance at 0.47. Our research house recommends a BUY call on DNEX, with a target price of RM0.58.
 

Source: BIMB Securities Research - 17 Jul 2024