KUALA LUMPUR (Oct 22): AllianceDBS Research said the immediate hurdle for Supermax Corporation Bhd was at RM2.43 and that Supermax had on Oct 21 reversed its position to reach a high of RM2.39 before closing at RM2.32 (up 24 sen or 11.53%).

In its evening edition yesterday, the research house said Supermax crossed over the 20-day & 50-day MA lines on Oct 21 after spending 4 days between the 20-day and 50-day moving average lines.

“Following the up close on Oct 21, the stock is expected to test higher again with an immediate hurdle at RM2.43.

“A crossover of RM2.43 should see further price rise to the next overhead resistance zone of RM2.55 – RM2.65.

“The support is pegged at RM2.26. A fall below RM2.26 would put pressure on the stock down to the subsequent support at RM2.14,” it said.

AllianceDBS Research said stock volume traded on Oct 21 was 27.2 million shares compared to the 3-month average volume of 3.51 million shares.

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

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