Sarawak Cable's follow-through rebound likely

THE FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) consolidated in tight trading range yesterday. Advancing counters outpaced declining counters by 389 to 306.

The FBM KLCI rebounded from its intra-day low of 1,576.37 to its intra-day high of 1,580.75 yesterday. It closed at 1,580.67 points, giving a day-on-day gain of 2.57 points, or 0.16 per cent.

Sarawak Cable Bhd price trend moved higher to close at RM1.72, giving a day-on-day gain of 13 sen, or 8.18 per cent.

Chartwise, Sarawak Cable's daily price trend rebounded from its recent low of RM1.31 on June 23 to its intra-day high of RM1.72 yesterday, posting a total gain of 41 sen, or 31.29 per cent.

Its 60-minute price trend staged a technical breakout of its short-term downtrend (B1:B2) on Tuesday and continued to stay above it.

Its 60-minute fast MACD (moving average convergence divergence) continued to stay above its daily slow MACD yesterday. Both its daily fast and slow MACDs continued to stay above their respective neutral reference lines.

Sarawak Cable's 60-minute price trend is likely to stage a follow-through technical rebound, likely to re-challenge its overhead resistance (RM1.73 to RM1.85 levels).