Epure - More upside potential on positive breakout

Key resistance breached. Epure could be poised for more upside in the weeks ahead after clearing the $0.620 key resistance on heavy volume yesterday; we see this as a significant break given the numerous failed attempts since Mar ’08.

Indicators turning bullish. With the RSI indicator rebounding strongly above the 50% mark and the MACD indicator initiating a bullish crossover yesterday, they support our view that the upside momentum is building up now.

Initial resistance at $0.705. The next resistance is at $0.705 (key support-turned-resistance level and upper boundary of 6-month uptrend channel), ahead of the $0.830 (peaks in Oct ‘07).

Immediate support at $0.620. Below the immediate $0.620 support, we peg the subsequent support at $0.565 (resistanceturned- support), followed by $0.465 (resistance-turned-support).

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