Bursa Malaysia may continue in a range-bound trading pattern next week, with slight upward momentum. The FBM KLCI fluctuates between 1,510 and 1,515, with resistance at 1,550 and support at 1,500. External challenges are expected to ease, stabilizing market conditions. The trading week showed cautious performances across various indices, mixed sector performance, and a slight increase in turnover.
Bursa Malaysia is predicted to maintain a range-bound trading pattern next week, with slight upward momentum as the Hari Raya holiday approaches. Analyst Mohd Sedek Jantan from UOB Kay Hian Wealth Advisors notes that the FTSE Bursa Malaysia KLCI (FBM KLCI) is fluctuating between 1,510 and 1,515, with resistance at 1,550 and support at 1,500.
The analyst suggests that, despite recent sharp corrections in Malaysian equities due to various unrelated issues, external challenges—such as US import tariffs, the Russia-Ukraine conflict, and concerns regarding China’s economic stability—are likely to ease soon, fostering a stabilization of foreign equity outflows.
This past trading week, the FBM KLCI experienced cautious trading as investors remained uncertain, influenced by global factors such as trade tensions and geopolitical circumstances. It closed down 6.70 points at 1,505.45 compared to 1,512.15 the previous week.
Additionally, various indices reported mixed performance: the FBM Emas Index increased by 5.65 points, the FBMT 100 Index decreased by 8.45 points, while the FBM Emas Shariah Index rose by 37.59 points. The FBM 70 and ACE Indices also saw significant gains.
Sector-wise, there were various shifts: the Industrial Products and Services Index fell slightly, the Financial Services Index dropped significantly, while the Plantation and Energy Indices saw gains. Overall, turnover increased slightly to 16.55 billion units valued at RM12.15 billion, compared to the previous week’s values. This week saw lower trading volumes across the main markets and a closure of Bursa Malaysia and its subsidiaries for the Nuzul Al-Quran public holiday.
Bursa Malaysia is expected to exhibit range-bound trading, influenced by external factors and approaching the Hari Raya holiday. The FBM KLCI fluctuated around key resistance and support levels, amidst investor caution and market corrections. The performance across various indices and sectors reflects mixed market sentiment, with slight increases in turnover, while lower trading volumes were noted in several aspects of the market.
Original Source: www.bernama.com
