Capital market experts forecasted the EGX indices to continue its upward trend in the next sessions to recover from the steep decline incurred last week.
The Egyptian Exchange (EGX) was back in the green on Monday and market capitalization gained nearly EGP 1.13 billion, powered Moody’s change of its credit rating for Egypt to ‘Stable’ from “Negative’.
Mona Mustafa, technical analyst at the African Group, expected the bourse’s positive performance to continue in the next few days, adding that investors would sell some of the stocks which have sharply declined in the past period.
Mustafa pointed out that turnover increased relatively to nearly EGP 650 million on the strong buying by foreign institutions and Egyptian individual investors.
The support still stands at 8470 and 8400 pts for EGX30,while the resistance stands at 8750 and 8800 pts, the analyst said. She added that EGX70 has support at 568 and 554 pts, and resistance at 592 pts.
Thus, Mustafa advised investors to monitor the stocks’ performance carefully and activate the stop loss point.
Ossama Naguib, head of technical analysis at Arab Finance, said the benchmark is likely to continue bouncing back to nearly 8800 pts, especially after the stocks entered the oversold area.
Naguib added that as long as EGX30 is still below the 8800 area, this means that it breached its upward trend line.
The Egyptian Exchange (EGX) was back in the green on Monday and market capitalization gained nearly EGP 1.13 billion, powered Moody’s change of its credit rating for Egypt to ‘Stable’ from “Negative’.
Mona Mustafa, technical analyst at the African Group, expected the bourse’s positive performance to continue in the next few days, adding that investors would sell some of the stocks which have sharply declined in the past period.
Mustafa pointed out that turnover increased relatively to nearly EGP 650 million on the strong buying by foreign institutions and Egyptian individual investors.
The support still stands at 8470 and 8400 pts for EGX30,while the resistance stands at 8750 and 8800 pts, the analyst said. She added that EGX70 has support at 568 and 554 pts, and resistance at 592 pts.
Thus, Mustafa advised investors to monitor the stocks’ performance carefully and activate the stop loss point.
Ossama Naguib, head of technical analysis at Arab Finance, said the benchmark is likely to continue bouncing back to nearly 8800 pts, especially after the stocks entered the oversold area.
Naguib added that as long as EGX30 is still below the 8800 area, this means that it breached its upward trend line.
Source:
Mubasher
