Sime Darby’s immediate hurdle at RM8.80, says AllianceDBS Research

sime_darby

-A +A

KUALA LUMPUR (May 27): AllianceDBS Research said Sime Darby Bhd’s immediarte hurdle was at RM8.80 and that Sime had on May 26 traded higher to RM8.79 before closing near the day’s low at RM8.57 (up 4 sen or 0.46%).

In its evening edition yesterday, AllianceDBS Research said Sime continued to trade below the 20-day and 50-day moving average lines.

“Following the up close on May 26, the stock is likely to move between RM8.50 and RM8.80 in the coming few days.

“A crossover of RM8.80 should see further price rise to the next overhead resistance at RM8.90. However, a fall below RM8.50 would put pressure on the stock down to the subsequent support zone, RM8.00 – RM8.10,” it said.

The research house said stock volume traded on May 26 was 5.84 million shares compared to the 3-month average volume of 4.20 million shares.

It said that indicator wise, the MACD was below the 9-day moving average line.