BELOW are excerpts of viewpoints from two chosen analysis homes on what buyers can count on within the day forward:
As soon as once more, the FBM KLCI managed to recoup most of its intraday losses and ended Friday with marginal losses, buoyed by shopping for help in direction of the top of the day.
Revenue taking actions have been prevalent within the early elements of the day however the shopping for help from overseas funds narrowed the day’s losses.
The broader market additionally noticed renewed shopping for curiosity that allowed market breadth to return to the constructive facet albeit traded volumes have been little modified from Thursday (Aug 10).
We see market circumstances remaining secure with the top of the politicking actions after the comparatively stalemate state elections.
Consideration might now change again to the financial and company undertones with the continued outcomes reporting season in focus. The central financial institution may also be unveiling the nation’s 2Q 2023 GDP (gross home product) information on the finish of the week with expectations of slower development in comparison with the previous quarter.
With the important thing index to carry largely regular, we additionally see it remaining above the psychological 1,450 degree for now albeit there may very well be some bouts of choppiness with lingering revenue taking actions cancelling out among the persevering with participation from overseas funds.
Beneath the 1,450 degree, the opposite helps are at 1,444 factors and 1,437 factors – the latter is the 200-day transferring common line. The resistances, however, are on the 1,460-1,462 ranges and at 1,470 factors.
Malacca Securities Analysis
The FBM KLCI was left marginally in pink as buyers took a cautious stance forward of the weekend state elections.
Nevertheless, with the state election concluded with a “3-3” establishment end result, we reckon that the FBM KLCI might stage a aid rebound.
The end result is deemed constructive to exhibit the soundness of Pakatan Harapan (PH)-Barisan Nasional (BN) pact authorities.
We count on the decrease liners to see improved buying and selling sentiment with buyers to re-position forward of the barrage of company earnings releases.
Nonetheless, positive aspects are anticipated to stay uneven from the uncertainty surrounding the discharge of the US Federal Open Market Committee (FOMC) minutes assembly in mid-week.
Commodities smart, Brent crude stabled above US$86/barrel whereas crude palm oil (CPO) costs stayed put round RM3,700/metric tonne.
As soon as once more, the FBM KLCI recovered most of its intraday losses to shut marginally decrease as the important thing index and shaped one other hammer candle.
Technical indicators have been constructive because the MACD Histogram prolonged one other constructive bar whereas the RSI is above 50. The instant resistances are situated alongside 1,480-1,500 whereas the help is pegged round 1,420-1,440. – Aug 14, 2023