Capital market experts and technical analysts said indices of the Egyptian Exchange (EGX) are expected to continue their winning streak till the end of this week, amid forecasts of a return of institutions and investment funds to building positions ahead of the Eid holiday.
Mona Moustafa, technical analyst, African Economic Group, said the market will likely continue the upward movement towards the next target level above which the benchmark index will likely attempt to stay above today amid active trading on most stocks specially small caps.
According to the analyst, the benchmark index EGX30 will target 10000 level upon steadying above 9820 level. The small and mid-cap index EGX70 has resistance at 642 then 647 and support at 633 then 624.
The analyst advised medium and long term traders to reduce positions temporarily and short term traders to buy in dips.
Sameh Gharib, head of technical analysis, Roots Stock Brokerage House, said the benchmark index rose on Tuesday to a new price level not reached in nearly six years, coupled with strong turnover.
The index will attempt to cross the 9820 level, the analyst said, adding that the general outlook for the index is still upwards as it see profit taking in a sideways movement.
The index has support at 9575 then 9382 and resistance at 9820 then 10000, according to the analyst.
EGX indices closed Tuesday’s session collectively higher, amid strong buying by retail traders. The benchmark index EGX30 rose 0.32% or 31.45 points to close above the 9800 barrier at 9811.40 points. The small and mid-cap index EGX70 also rose 0.72% to 637.3 points. The broader index EGX100 ended 0.59% higher at 1167.93 points.
Mona Moustafa, technical analyst, African Economic Group, said the market will likely continue the upward movement towards the next target level above which the benchmark index will likely attempt to stay above today amid active trading on most stocks specially small caps.
According to the analyst, the benchmark index EGX30 will target 10000 level upon steadying above 9820 level. The small and mid-cap index EGX70 has resistance at 642 then 647 and support at 633 then 624.
The analyst advised medium and long term traders to reduce positions temporarily and short term traders to buy in dips.
Sameh Gharib, head of technical analysis, Roots Stock Brokerage House, said the benchmark index rose on Tuesday to a new price level not reached in nearly six years, coupled with strong turnover.
The index will attempt to cross the 9820 level, the analyst said, adding that the general outlook for the index is still upwards as it see profit taking in a sideways movement.
The index has support at 9575 then 9382 and resistance at 9820 then 10000, according to the analyst.
EGX indices closed Tuesday’s session collectively higher, amid strong buying by retail traders. The benchmark index EGX30 rose 0.32% or 31.45 points to close above the 9800 barrier at 9811.40 points. The small and mid-cap index EGX70 also rose 0.72% to 637.3 points. The broader index EGX100 ended 0.59% higher at 1167.93 points.
Source:
Mubasher Exclusive
