Technical Analysis — (MCEMENT) - 17 May 2026Malayan Cement BhdMYX_DLY:MCEMENTmustaqim.mazukyOverall Market Structure Based on the chart provided, MCEMENT remains in a medium-term bullish structure despite recent volatility. The stock has successfully rebounded from the major support zone around RM5.80–RM6.00 and is currently forming a higher low + ascending channel pattern. The current setup suggests: The market is attempting another bullish continuation wave. Bullish Recovery Structure The chart clearly shows: Higher lows being formed Recovery from strong support Ascending price channel Momentum stabilization after correction This indicates: Buyers are gradually regaining control. If price respects the lower trendline support: continuation toward RM7.60 then RM8.20–RM8.60 becomes increasingly possible. Breakout Confirmation A strong breakout above: RM7.40–RM7.60 with volume expansion could trigger: momentum buying institutional participation trend continuation Potential upside targets: RM8.20 RM8.60 RM9.00+ The projected structure on your chart suggests a possible acceleration phase if breakout confirmation occurs.Fundamental & Sector Narrative MCEMENT benefits from several macro themes: 1. Infrastructure & Construction Cycle Malaysia’s infrastructure spending remains supportive for: cement demand construction materials industrial projects Potential beneficiaries include: highways data centers industrial parks public infrastructure developments 2. Pricing Power Improvement Cement players have recently shown: stronger pricing discipline improving margins better cost management If energy costs stabilize: earnings recovery may strengthen further. Risks & Threats 1. Resistance Zone Still Active RM7.40–RM7.60 remains a critical resistance area. Failure to break this zone may lead to: sideways consolidation short-term pullback profit-taking pressure 2. Construction Sector Volatility The stock remains sensitive to: government project execution economic slowdown raw material cost fluctuations diesel & energy prices Any slowdown in infrastructure spending could affect sentiment. 3. Breakdown Risk If price fails to hold: RM7.00 then RM6.60 the bullish channel structure may weaken significantly. Major downside support remains: RM5.80–RM6.00 For Investors MCEMENT appears suitable as: a construction/infrastructure recovery play medium-term cyclical exposure trend-following setup Current structure suggests: accumulation may still be ongoing before the next expansion phase. Conclusion MCEMENT currently displays: ✅ Bullish recovery structure ✅ Ascending channel support ✅ Higher low formation ✅ Potential breakout setup However, confirmation is still needed above RM7.60 before stronger upside momentum toward RM8.50–RM9.00 can develop. At the current stage: The stock remains in a constructive bullish setup, but still within a confirmation zone.