Date: October 8, 2024
Broker: CGS International

Company Overview

Top Glove Corporation Berhad is a Malaysian company that manufactures a wide range of latex gloves. Its products include latex examination powdered gloves, latex examination powder-free gloves, nitrile examination gloves, soft nitrile examination gloves, vinyl examination gloves, surgical gloves, and other related products.

Stock Performance

As of October 8, 2024, Top Glove Corporation’s stock was trading at RM1.05. The stock has recently rebounded after finding support at its 200-day Exponential Moving Average (EMA). This level has provided a solid base, with the stock now poised for a potential move towards its September high of RM1.21.

Technical Indicators

• Entry Prices: RM1.00 – RM1.05
• Support Levels: RM0.965 (Support 1), RM0.855 (Support 2)
• Stop Loss: RM0.96
• Resistance Levels: RM1.14 (Resistance 1), RM1.21 (Resistance 2)
• Targets: RM1.14, RM1.21

Momentum Indicators

Both the Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI) have started to hook upwards, signaling a potential strengthening of the bulls. These indicators suggest that the stock is refueled and ready for a further upward movement.

Trading Strategy

The stock appears well-positioned for aggressive traders to go long at the current price or on slight weakness. The recommended stop-loss level is set at RM0.96, slightly below the last swing low. If the bullish momentum holds, prices may retest historical resistance levels of RM1.14 and RM1.21 in the coming sessions.

Conclusion

The report maintains a “Technical Buy” recommendation, highlighting that Top Glove is set for a potential retest of its September highs, with strengthening technical indicators supporting the outlook for further gains.