Kencana Agri Resources (35 cents) ' Falls to support

Prices eased over the past month, and are now testing the confluence of the 50-day and 100-day moving averages at 34-35 cents. This may hold for the next week or so as quarterly momentum is at a support at its equilibrium line. ADX is falling — a sign of a sideways phase — and the DIs are neutral to positive.

However, when the DIs turn negative, and momentum falls below equilibrium, as is the case with the sector, prices may also move below 34 cents. In this event, the next support is at 31 cents. The upside is likely to be limited to 36.5-37 cents. In all, the charts point to more downside than upside.