KLCI Technical Analysis - 13 Oct, 2015

KLCI Market Review

• The FBM KLCI index gained 3.32 points or 0.19% on Monday. The Finance Index fell 0.02% to 14497.63 points, the Properties Index up 0.57% to 1183.51 points and the Plantation Index rose 0.37% to 7490.63 points. 

• The market traded within a range of 19.25 points between an intra-day high of 1719.90 and a low of 1700.65 during the session.

• The KLCI closed higher at 1709.86 points amid overnight gains in US markets following higher oil price. The performance of our local bourse was lifted by buying interest in heavy weight counters such as Tenaga, TM and Public Bank.

Market Forecast

• The FBM KLCI index is expected to trade with bullish sentiments if break the resistance level of 1719.868 as most key Asian markets were higher, with Hong Kong and China among the top performers. 

• Hong Kong stocks extended recent gains on Monday, with investor sentiment underpinned by renewed strength in China's markets and hopes that the US central bank will not raise interest rates any time soon.

Market Highlights

• Bursa Malaysia opened slightly lower as gains in utilities offset a retreat in energy shares on Monday, leaving US stocks slightly higher as investors remained nervous about third-quarter corporate results.There were 200 gainers, 206 losers and 197 counters traded unchanged on the Bursa Malaysia.

• The FTSE Bursa Malaysia Kuala Lumpur key index was at 1,707.66 down 2.20 points. 

• The DJIA rose rose 47.37 points, or 0.28%, to 17,131.86, the S&P 500 gained 2.57 points, or 0.13%, to 2,017.46 and the Nasdaq added 8.17 points, or 0.17%, to 4,838.64.

• The ringgit down 0.82% to 4.1815 per US$.

• Digi Bhd is planning to aggressively double site rollout for the year by adding more than 1,500 sites to solidify its stronger and more extensive network position by year-end.

• Petronas-linked stocks, plantations and banks underpinned the FBM KLCI’s advance in early Tuesday trade – the seventh straight days of gains – supported by foreign buying of index linked stocks.

• Glomac, highway concessionaires, Parkson, Icon Offshore and Metrod to be among the stocks which could see trading interest on Tuesday. 

• CIMB Equities Research believes that starting next year, Genting Malaysia will see a long-awaited multi-year re-rating process when the Genting Integrated Tourism Plan (GITP) comes onstream and starts to mature.

• Parkson Holdings Bhd has failed to get its independent shareholders’ approval for a proposed internal group reorganisation that would see its Singapore-listed subsidiary, Parkson Retail Asia Ltd (PRA), being parked under Hong Kong-listed Parkson Retail Group Ltd (PRG).

• Silk Holdings Bhd’s share price soared, leading gains among highway concessionaires following an announcement of toll rate hikes at major expressways in the Klang Valley effective Thursday.

• Icon Offshore Bhd and its partner FOB Swath Malaysia A/S have agreed to terminate their shipbuilding contract with Denmark-based Danish Yachts.