KUALA LUMPUR (Nov 14): AllianceDBS Research said Salcon Bhd (Salcon) had on Nov 13 traded higher to 52.5 sen before closing near the day’s high at 52 sen (up 1.5 sen or 2.97%).

In its evening edition yesterday, the research house said Salcon continued to trade above the 20-day (blue) and 50-day (red) moving average lines.

“Following the up close on Nov 13, the stock is likely to move higher again with immediate hurdle at 53 sen.

“A crossover of 53 sen should see further price rise to the next overhead resistance zone, 55 sen– 56 sen.

“The support is pegged at 50.5 sen. A fall below 50.5 sen would put pressure on the stock down to the subsequent support zone, 46.5 sen – 48.5 sen,” it said.

AllianceDBS Research said stock volume traded on Nov 13 was 10.0 million shares compared to the 3-month average volume of 3.18 million shares.

The researh house said that indicators wise, the MACD was above the 9-day moving average line with the buy signal remains intact.

It said the relative strength index indicated that the stock was currently in an overbought zone.