KUALA LUMPUR (Aug 12): RHB Retail Research said UWC Bhd is poised for a technical breakout after it bounced off the 21-day average line to close at the immediate resistance level of RM4.06.

In a trading stocks note on Friday (Aug 12), the research house said if the stock breaches above that level, forming a “higher high” bullish structure, a bullish bias could emerge to propel the stock upwards towards RM4.40 (Feb 21’s high), followed by RM4.80, Feb 15’s high.

“However, the stock may reverse direction if it falls below the RM3.72 support, as it may form a 'lower low' bearish pattern below the average line,’ it said.