Technical rebound likely for Ancom

A SHARP fall on Wall Street on Wednesday dictated overall market sentiment on Bursa Malaysia yesterday, the FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI) continued to consolidate further with decliners outpacing advancers by 480 to 290 on Bursa Malaysia.

The FBM KLCI fell from its intra-day day high of 1,555.72 to its intra-day low of 1,544.96 yesterday. It closed at 1,551.91, a day-on-day loss of 6.26 points.

Ancom Bhd's price moved up to 42.5 sen, a gain of 5 sen, or 27.40 per cent.

Chartwise, Ancom's daily price trend rebounded from its recent low of 36.5 sen on July 21, to its day high of 46.5 sen yesterday, posting a total gain of 10 sen, or 10.87 per cent. Its 60-minute price staged a technical breakout of its overhead resistance (B1:B2) yesterday and stayed above it.

Its 60-minute fast MACD (Moving Average Convergence Divergence indicator) stayed above its daily slow MACD yesterday. Both of its daily fast and slow MACDs stayed above their respective neutral reference lines.

Ancom's 60-minute price trend is likely to stage a follow-through technical rebound to to its immediate overhead resistance (43 sen to 53 sen levels).