Ramunia stages follow-through rebound
New Straits Times(BizNews)
25 January 2006

After the previous day’s sharp technical pullbacks, regional stock markets regained their composure before unfolding their technical rebounds. Share prices on Bursa Malaysia rebounded in step with the regional stock markets.

The Kuala Lumpur Composite Index (KLCI) rebounded to its intra-day high of 908.93 before easing off to close at 906.98 points yesterday,, giving a day-on-day gain of 4.47 points, or 0.50 per cent.

Yesterday, Ramunia Holdings Bhd staged a follow-through technical rebound. Its daily price trend rebounded to close at RM1.19, giving a day-on-day gain of 7 sen, or 6.25 per cent.

Chartwise, Ramunia’s daily price trend fell from its high of RM1.24 on October 5 2005 all the way down to its intra-day low of 97 sen on December 21 2005, registering a total loss of 27 sen, or 21.77 per cent.

Its hourly price trend staged a technical breakout of its overhead resistance (B3:B4) yesterday. Its hourly price trend had moved closer to its previous resistance (B1:B2).

Ramunia’s hourly fast MACD (moving average convergence/divergence) continued to trend above its hourly slow MACD yesterday, right above their respective neutral reference lines.

Its hourly price trend had moved into the confines of its overhead resistance zone (RM1.17-RM1.27). A decisive breach of this resistance zone will then see Ramunia’s hourly price trend moving onto higher technical ground.

The subject expressed above is based on technical analysis and opinions of the writer. It is not a solicitation to buy or sell.