KUALA LUMPUR (Feb 29): Rakuten Trade said Classic Scenic Bhd may trend higher after breaking out from its six-week bullish flag pattern two sessions ago.
In a technical view note on Thursday, the research house said that as the stock bounced off the 20-day exponential moving average (EMA), coupled with the positive cross of its 20-day EMA above the 50-day EMA, this bullish crossover has enhanced its near-term positive momentum.
“We expect the rising momentum is set to steer the stock higher and test the next level of resistance of RM0.51 (R1) and RM0.53 (R2) in the near term.
“On the downside, stop-loss is set at RM0.43, below Feb 21’s low,” it said.