KUALA LUMPUR (July 3): AllianceDBS Research said Bumi Armada Bhd (Armada) was taking a breather and said Armada had on July 2 traded within the previous day’s range to form an inside day bar before closing at RM1.18 (down 1 sen or 0.84%).

In its evening edition yesterday, the research said Armada continued to trade between the 20-day and 50-day moving average lines in the last 2 days.

“The inside day bar indicated a breather in the game play.

“Following the down close on July 2, the stock is likely to move between RM1.20 and RM1.11 in the coming few days.

“A crossover of RM1.20 should see a further price rise to the next overhead resistance zone of RM1.29 – RM1.34.

“However, a fall below RM1.11 would put pressure on the stock down to the subsequent support zone of RM1.00 – RM1.04,” it said.

AllianceDBS Research said stock volume traded on July 2 was 3.08 million shares compared to the 3-month average volume of 13.5 million shares.

The research house said that indicators wise, the MACD was marginally above the 9-day moving average line with the buy signal just being emitted.

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