NCT Alliance is eyeing a technical breakout after rebounding strongly above the 21-day SMA line with strong volume – this is as it attempted to break past the MYR0.565 immediate resistance after closing at that level recently. If the stock manages to climb above this, it may be propelled higher towards MYR0.595, ie the 52-week high, followed by the MYR0.65 next resistance. However, falling below the MYR0.525 support reverses the momentum, as the counter will trade below the SMA line and form a "lower low" bearish structure.

Source: RHB Securities Research - 17 May 2024