Translate

Translate This Page

Friday, July 31, 2009

SAAG Consolidated (SAAG MK; RM0.285) - BUY (CIMB)

FY09P/E: 9.2x, P/BV: 1.0x

• SAAG is now entrenched in a Triangle pattern. It appears that selling pressure is slowly subsiding and a potential breakout looks imminent. A break above RM0.30 resistance trend line would lift the stock towards RM0.315 and RM0.325 next.

• Its indicators are showing signs of improvement. MACD is rising towards the zero line while RSI has hooked upward again.

• Traders with greater risk appetite may want to start nibbling now and wait for the breakout to materialise. However, always keep a stop below RM0.26 as next support is weaker at RM0.24 and RM0.21.

 

No comments: