Technical View – Accumulation Phase Poised for Breakout

CGB closed at RM0.885, holding above all key moving averages and maintaining a constructive uptrend structure that’s been in place since early-2025. The 200-day EMA (~RM0.850) continues to rise, confirming long-term bullish momentum, while price action has been consolidating within a narrow RM0.865–0.900 band over the past two months, a typical sign of accumulation before a directional move.

Short-term momentum is improving: the oscillator has turned higher from oversold levels, and repeated “Buy” signals around the RM0.865–0.870 area suggest accumulation by stronger hands. However, repeated rejections near RM0.900–0.905 highlight a clear supply zone, a breakout above this level is needed to trigger follow-through buying and open a path towards RM0.930–0.950.

On the downside, RM0.850 remains the critical structural support. A decisive break below this would shift sentiment to neutral and risk a pullback towards RM0.820.

Technical Bias: Bullish-neutral. Current setup points to a coiled base with a favourable risk-reward skew, but a breakout confirmation above RM0.900 is key for trend continuation. Failure to do so risks prolonged sideways trade or a reversal below key support.