The Egyptian Exchange (EGX) is expected to continue its temporary upward movement, said capital market experts and technical analysts, noting that the benchmark index EGX30 may test the 9000 mark.
Osama Naguib, head of technical analysis, Arab Finance, said the benchmark extended its upturn on Wednesday to reach 8811 with a gain of as much as 178 points or 2.10%.
Meanwhile, traded value continued to be weak to reach EGP 584 million; below its monthly average of EGP 610 million.
According to the analyst, the index is set for more rises towards 8900-8950 points. Short-term traders are advised to reduce their positions in the temporary rise and not to open new positions unless the index is above 8900 with strong traded value. Medium-term traders should hold their equities as long as the index is above 8400 points, Naguib said.
“EGX30 continued rising closing above resistance level 8,800 at 8,811. And it’s still expected to continue rising slightly towards resistance barrier 9,000,” said Ahmed Ayyad, chief analyst, MubasherTrade.
EGX indices rose on Wednesday, while market capitalization added around EGP 6 billion, backed by strong buying among foreign and Arab institutions and foreign retail traders.
The benchmark index jumped 2.07% or 178.73 points to close above the 8800 barrier at 8811.88 points.
The small and mid-cap index EGX70 also rose 1.63% or 9.53 points to 595.31 points and the broader index EGX100 added 1.14% or 12.11 points to 1077.88 points.
Osama Naguib, head of technical analysis, Arab Finance, said the benchmark extended its upturn on Wednesday to reach 8811 with a gain of as much as 178 points or 2.10%.
Meanwhile, traded value continued to be weak to reach EGP 584 million; below its monthly average of EGP 610 million.
According to the analyst, the index is set for more rises towards 8900-8950 points. Short-term traders are advised to reduce their positions in the temporary rise and not to open new positions unless the index is above 8900 with strong traded value. Medium-term traders should hold their equities as long as the index is above 8400 points, Naguib said.
“EGX30 continued rising closing above resistance level 8,800 at 8,811. And it’s still expected to continue rising slightly towards resistance barrier 9,000,” said Ahmed Ayyad, chief analyst, MubasherTrade.
EGX indices rose on Wednesday, while market capitalization added around EGP 6 billion, backed by strong buying among foreign and Arab institutions and foreign retail traders.
The benchmark index jumped 2.07% or 178.73 points to close above the 8800 barrier at 8811.88 points.
The small and mid-cap index EGX70 also rose 1.63% or 9.53 points to 595.31 points and the broader index EGX100 added 1.14% or 12.11 points to 1077.88 points.
Source:
Mubasher Exclusive
