GCC exchanges likely see important resistance - Analysts

GCC exchanges likely see important resistance - Analysts
Traders at Boursa Kuwait (Photo Credit: Arabianeye-Reuters)

By: Mahmoud Gamal

Mubasher: The GCC stock markets will test important resistance levels on Thursday and next week, amid the economic changes the region is witnessing, Mohamed Radwan, a member of the International Federation of Technical Analysts (IFTA), told Mubasher.

The markets’ trend will be determined until the end of the first half of 2017 by oil prices, which are seeing significant correction, Radwan added.

The Saudi Stock Exchange (Tadawul) is moving sideways between 8,000 and 8,250 points, Radwan noted.

The Dubai Financial Market (DFM) is witnessing a bearish performance on the short-term and a sideways-to-bullish trend on the medium-term.

Investors in the DFM should not increase their positions in the current period, he said, adding that the price-to-cash-flow ratio should not exceed 25%.

The Abu Dhabi Securities Exchange (ADX) is moving downward towards 4,150-4,200 points on the short-term after moving below 4,500-4,450 points, Radwan noted.

Boursa Kuwait is still seeing an uptrend which enables it to target 7,800-7,900 points, Radwan said.

The bourse is currently witnessing accumulation on the medium-term and speculations on the short-term, Radwan added.

Translated by: Julian Nabil

Source: Mubasher Exclusive