Supportline By FONG MIN YUAN

ADVANCECON Holdings Bhd gapped up at the opening bell yesterday, which showed a pick-up in bullish momentum. At the current share price level, it is meeting the uppermost 21-day simple moving average (SMA) and above other key SMA lines. Meanwhile, the 50-day SMA crossed above the 200-day SMA earlier in the week on high trading volume to form a “golden crossing”, which suggests a bullish outlook for the stock. The technical indicators have turned bullish, with the daily moving average convergence/divergence (MACD) line rising into positive territory to signal the start of a positive trend. An escalation of trading interest in the stock also affirms the bullish catalyst. Resistance is pegged to 45.5 sen and of 47.5 sen, the latter being the stock’s recent trading high. Support is found at 40 sen and 38 sen. NAIM Holdings Bhd rose out of key resistance level of 99 sen in intra-day trade and closed the trading gap from a March 9 selloff. However, it ended the trading day under the resistance at 98 sen. Based on the technical indicators, the share price could briefly consolidate below the resistance. The slow-stochastic momentum index remains in a falling trajectory while the 14-day relative strength index (RSI) is currently showing overbought levels. The MACD, however, reflects growing momentum in positive territory, which indicates that the positive trend remains intact. Given the price trend, the advance could resume on buying interest following a brief consolidation period. The immediate resistance is at 99 sen with a higher target of RM1.15. Support is found at 87 sen and 75 sen. VS INDUSTRY Bhd is range-bound as consolidation pressures keep a lid on the share price. It looks likely investors are awaiting a firm buying lead before resuming a recovery trend. At its recent peak in June, the share price hit RM1.14. A positive crossing of this level would indicate the stock’s continued recovery as it retraces losses since hitting a trough in March. Based on the daily price chart, a move past RM1.08 could signal a potential challenge to the recent peak. The technical indicators are mildly bullish with the slow-stochastic and 14-day RSI showing some slight pick-up in momentum. The MACD remains positive although more buying interest will be needed for the indicator to rise off the current plateau. The support for the stock can be found at 99 sen, a negative crossing of which would signal a bearish turn. Further support is found at 84 sen. The comments above do not represent a recommendation to buy or sell.