The Egyptian Exchange (EGX) is likely to see partial profit-taking on Thursday, analysts told Mubasher.
The EGX may maintain Wednesday’s negative performance if the benchmark EGX30 index breaks 15,080 and 15,000 points, customer relations manager at Arabeya Online Michael Mamdouh said.
The Egyptian bourse is expected to see partial profit-taking today, Mamdouh added, indicating that it was difficult for the EGX30 index to break 15,250 and 15,320 points in Wednesday’s trading session.
The stock market will confirm the bearish trend on Thursday or hover around 15,250 and 16,000 points, he noted.
The negative performance of the heavyweight Commercial International Bank (CIB) yesterday, in addition to weak trading volume, has impacted the EGX, he indicated.
The EGX will resume the bullish trend on Thursday or next Sunday if the CIB’s stock rose, Mamdouh said.
For his part, Osama Naguib, head of technical analysis at Arab Finance Securities, said that the EGX30 index would continue the sideways trend in the meantime.
The benchmark index has key resistance at 15,300 points and has support at 14,800 and 14,600 points, Naguib highlighted.
He noted that the index has a stop-loss limit at 14,120 and 14,100 points, pointing out that it may see further losses and move toward 13,400 and 13,330 points.
In the short-term, the EGX30 index will continue the upward trend, he remarked, adding that the EGX has entered correction territory temporarily as long as the benchmark is above 14,100 points.