n June 2, I recommended a BUY on MFCB in view of its good financial performance and attractive valuation. For more, go here.
Today, I like to reiterate my BUY call on this stock. The reason is that MFCB has now broken above the “horizontal line” that capped its earlier upside rally (following the breakout of the downtrend as noted on June 2). The current breakout is the flag-off for the upleg to come.
Chart 1: MFCB's daily chart as at Aug 5, 2016_12.30pm (Source: Kentrade)
In addition, MFCB has a warrant, MFCB-WA. Today we saw this warrant has also experienced a bullish technical breakout at RM0.48.
Chart 2: MFCB-WA's daily chart as at Aug 5, 2016_12.30pm (Source: Kentrade)
MFCB is now trading at RM1.99-2.00. I prefer the stock to the warrant, which is trading at RM0.53-0.545.
I hereby confirm that I do not have any direct interest in the security or securities mentioned in this post. However, I could have an indirect interest in the security or securities mentioned as some of my clients may have an interest in the acquisition or disposal of the aforementioned security or securities. As investor, you should fully research any security before making an investment decision.
MFCB (3069) - MFCB: Time to Lift-off?