Date: September 18, 2024
Broker Name: CGS International Securities Malaysia Sdn. Bhd.

Company Overview

WCE Holdings Berhad operates as a holding company, primarily focused on designing, constructing, and developing West-Coast Expressway projects in Malaysia. The company serves customers within the Malaysian market.

Technical Analysis: Bullish Breakout

As of September 18, 2024, WCE Holdings is positioned as a “Technical Buy” with a last price of RM0.845. The stock has shown a significant bullish breakout, which has caught the attention of traders and analysts.

Entry Points and Support/Resistance Levels

The recommended entry price for WCE Holdings is between RM0.815 and RM0.845. The following are key technical levels to watch:

• Support 1: RM0.755
• Support 2: RM0.70
• Stop Loss: RM0.75
• Resistance 1: RM0.88
• Resistance 2: RM0.96

Target Prices

Aggressive traders are encouraged to consider this stock with targets set at RM0.88 and RM0.96.

Technical Indicators

WCE Holdings broke out above the downtrend line from its RM1.19 high in early September. It has since formed a base above the 20-day Exponential Moving Average (EMA). A long white candle, signaling strength, closed above the 200-day EMA for the first time in two months, confirming the bullish momentum.

Both the Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI) have moved higher, indicating that the bullish trend is picking up speed.

Strategic Recommendations

Traders are advised to go long either at current levels or on minor price weakness, with a stop-loss set at RM0.75. The bullish momentum could push the stock to test historical resistances at RM0.88 and RM0.96, as indicated by the breakout.

Market Sentiment

The stock’s performance reflects strong investor interest, driven by technical indicators. The rising EMA values and a sequence of higher highs and higher lows further underscore the potential for upside.

Conclusion

WCE Holdings is showing signs of a strong bullish breakout, and traders are advised to monitor it closely for further upward movements. Aggressive traders might benefit from entering the stock at recommended levels, given the favorable technical indicators.