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EGX targets 10,800 points resistance level, should 10,650 points barrier be surpassed - Daily News Egypt

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EGX targets 10,800 points resistance level, should 10,650 points barrier be surpassed

Market is currently witnessing fluctuation, particularly off back of anticipated results of yet-to-be-confirmed US presidential elections


The Egyptian Exchange (EGX) will, at the start of the current week’s trading sessions, test the benchmark index EGX30’s ability to surpass the 10,650 points barrier.

If it is confirmed that it can be exceeded, the market will head towards new target at the 10,800 points resistance level.

The movement of foreign investors in the local stock market is currently witnessing a fluctuation, particularly off the back of the anticipated results of the yet-to-be-confirmed US presidential elections.

Mohamed Osman, Head of the Technical Department at Pharos Holding, expects that EGX30 will break the 10,650 points resistance level. It will go on to test the 10,800 points level where the buying power will be strictly examined.

“We keep our conservative attitude and advice for those who are investing in the market to make use of any rebound to reduce marginal exposures until a clear buying power appears,” Osman said.

The EGX30 closed at 10,629.29 points at the end of last week’s trading, recording an increase of 1.08%. The EGX70 EWI posted a 0.72% loss, concluding the period at 1,857.19 points, while the S&P index declined by 1.02% to conclude the period at 1,577.05 points.

The EGX30 Capped declined by 0.15% and concluded at 12,460.2 points, while the EGX100 EWI declined by 0.96% to conclude the period at 2,717.21 points

The total market capitalisation reached EGP 609.6bn at end of period, representing an increase of 0.7% over the last week. The market witnessed over 177,000 transactions executed on 1.623m securities, with a total trading value of EGP 10.4bn.

For the week before last, the market saw over 153,000 transactions carried out on 1.330m securities, with a total trading value of EGP 8.8bn.

Stocks accounted for 47.06% of the total value traded on the main market, while the remaining 52.94% were directed to bonds over the last week.

Egyptians represented 85.2% of the value traded in listed stocks after excluding deals during the period. Foreigners accounted for 8.4%, while Arabs captured 6.4%. Foreigners were net sellers, with a net of EGP 180.8m, and Arabs were net buyers, with a net of EGP 15.0m, after excluding deals in listed stocks.

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https://dailyfeed.dailynewsegypt.com/2020/11/07/egx-targets-10800-points-resistance-level-should-10650-points-barrier-be-surpassed/
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