Kawan Renergy is eyeing to extend the bullish trajectory after staging a bullish breakout on the back of strong volume. The stock charted a long white candlestick and closed above the MYR0.745 resistance, signalling that the bullish momentum is now gaining pace. After the bullish breakout, we expect a followthrough price action to test the next resistance at MYR0.85, followed by the MYR0.95 level. On the downside, breaching below the MYR0.655 support negates the bullish setup and kickstarts the correction phase.

Source: RHB Securities Research - 27 Dec 2024