Date: October 8, 2024
Broker: CGS International

Company Overview

Binastra Corporation Berhad is an investment holding company. The company, through its subsidiaries, provides turnkey engineering design and integration services. Binastra Corporation also engages in the manufacturing and assembly of electronic components.

Stock Performance

As of October 8, 2024, Binastra Corporation’s stock was trading at RM1.48. The stock has formed a bullish breakout pattern known as the “three white soldiers,” confirming a breakout above the bullish flag pattern that occurred on the previous Friday. Prices are staying above all the Exponential Moving Averages (EMAs), signaling further upside potential.

Technical Indicators

• Entry Prices: RM1.44 – RM1.48
• Support Levels: RM1.42 (Support 1), RM1.35 (Support 2)
• Stop Loss: RM1.34
• Resistance Levels: RM1.54 (Resistance 1), RM1.61 (Resistance 2)
• Targets: RM1.61, RM1.65

Momentum Indicators

The Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI) have strengthened, indicating a rising buying momentum. These signals support the expectation of continued price growth and potential new highs in the near term.

Trading Strategy

Aggressive traders may consider going long at the current price or on a slight pullback. The suggested stop-loss is RM1.34, protecting against downside risk. On the upside, the stock is expected to reach RM1.61, with further potential to hit RM1.65.

Conclusion

The report reiterates a “Technical Buy” recommendation, supported by the strengthening technical indicators and the bullish flag breakout. Binastra Corporation appears to be on track to achieve new record highs in the coming sessions.