Sunday, April 3, 2011

FBM KLCI Is In A Profit Taking Consolidation Week

Bursa Recap: KLCI jumps 10.3 points to end the week 2.6% higher
FBM KLCI up 10.3 points last Friday to end the week 2.6% higher at 1555.4, driven by active interests in selected blue chips. Market breadth was bullish with 517 gainers against 319 losers, backed by fresh domestic leads.

PM has given the assurance that the government will announce a slew of new major and exciting projects in the next few months, providing traction in implementing effectively ETP. Besides, government’s plans to slowly remove subsidy cuts to spur consumption and cap inflation aided market sentiment.

FBM KLCI outlook: A profit taking consolidation week

Despite black swan events such as Japan’s earthquake & nuclear crisis, surging oil prices and Euro debt crisis that will make the 2Q more volatile, there is still upside bias for the market to move higher, spurred mainly by the local catalysts.

These include:
(1) Accelerating implementation of ETP;
(2) Goodies from the Invest Malaysia Conference;
(3) Favourable outlook for the ringgit, and return of foreign funds;
(4) Positive newsflow on M&As, GLC-linked IPOs and general election

Immediate resistance levels are 1560-1577 whilst support levels are situated around 1525-1530.


Weekly FBM KLCI Upside Target Of 1650 Points Is In The Medium Term.
FBM KLCI 05-04-2011a

Source: HLeBroking

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...