KUALA LUMPUR (Sept 27): AllianceDBS Research said Globetronics Technology Bhd (Gtronic) had on Sept 26 gapped up to cross over the RM3.72 hurdle.

In its evening edition yesterday, the research house said the stock subsequently reached the highest high of RM3.74 since May 3 before closing near the day’s high at RM3.73 (up 2.5 sen or 7.18%).

It said Gtronic continued to trade above the 20-day and 50-day moving average lines.

“The upside gap indicated the urgency to establish stock position.

“Following the up close on Sept 26, the stock is likely to move higher again with immediate hurdle seen at RM3.79.

“A crossover of RM3.79 should see further price rise to the next overhead resistance zone, RM3.90 – RM4.00.

“The support is pegged at RM3.72. A fall below RM3.72 would put pressure on the stock down to the subsequent support at RM3.40,” it said.

AllianceDBS Research said stock volume traded on Sept 26 was 6.75 million shares compared to the 3-month average volume of 890,000 shares.

The research house said that indicators wise, the MACD was above the 9-day moving average line with the buy signal remains intact.

It said the relative strength index indicated that the stock was currently in an overbought zone.