MBM Resources has staged a bullish breakout, and is poised to extend its bullish trajectory. We observed that the stock has been consolidating sideways below the MYR4 threshold. On Monday, the stock managed to break past the MYR4 resistance, indicating that bullish momentum is gaining pace. Riding on the renewed momentum, the stock should travel towards MYR4.20, followed by MYR4.40. On the downside, a fall below the MYR3.75 support would kick off a correction phase.

Source: RHB Securities Research - 8 Nov 2023