By: Aseel Bin Taleb
Riyadh – Mubasher: The Saudi Stock Exchange ended Thursday on a negative performance, marking its lowest level in six months.
The main index fell 4.02% or 250 points to stand at 5,976 points.
Tadawul is still in a downward trend, which was confirmed after losing the 6,300 points level then the second support level of 6,100 points, Abdullah Al Jabaly, the technical analyst, said.
He added that by losing the support level, it hints that it targets 5,900 and 5,800 points zone, which are historically support levels.
Should Tadawul's general index maintain these levels, it will rebound upwards towards 6,200 points, the analyst stated.
Al Jabaly noted that a rebound happened in today's session but the turnover remains weak at SAR 3 billion; the market did not even reach the 6,200 points.
The analyst highlighted that falling below 5,900 points, which the index rebounded from on Thursday, indicates a probability of falling towards 5,800 points which is an important support level for 2016.
Oil prices approached the $50 pb level for Brent crude then they lost that level. If the prices fell to below $48.5 pb this week, that will mean that the market is moving to a downwards path, the analyst added.
The industrial investment and real estate development sectors were the only gainers rising 0.77% each.
On the other hand, the media sector lost 3.67%, followed by the energy and cement sectors, which decreased 1.91% and 1.84%, respectively.
The banks slipped 1.41%, followed by the petrochemical and telecommunication sectors which shed 0.91% and 0.24%, respectively.
On the stock level, 32 shares levelled up, 132 levelled down and 5 remained unchanged.
Al-Rajhi Company for Cooperative Insurance (Al Rajhi Takaful) gained 7.73%, followed by Saudi Transport and Investment (Mubarrad) and Basic Chemical Industries Company (BCI) which advanced 3.88% and 2.17%, respectively.
Middle East Healthcare Company (MEAHCO) topped the losing stocks dropping 7.52%, followed by Filing and Packing Materials Manufacturing Company (FIPCO) and Saudi Research and Marketing Group which fell 6.44% and 5.61%, respectively.
Translated by: Sara Ghali
