KUALA LUMPUR: The FBM KLCI moved back into positive territory by the lunch break, as some selective buying emerged despite mixed sentiment across the broader market.
At midday, the FBM KLCI edged up 1.49 points, or 0.09%, to 1,678.13, retreating slightly from its intramorning high of 1,678.85 amid mixed buying interest.
There were 379 gainers, 464 losers and 509 counters traded unchanged on the Bursa Malaysia. Turnover stood at one billion shares valued at RM797.5mil.
TA Securities said cautious trading is expected to prevail as investors refrain from making major trading commitments ahead of the upcoming year-end holidays.
The brokerage said immediate resistance remains at the August 2024 high of 1,684, followed by the December 2020 high of 1,695, with tougher resistance seen at the 123.6% Fibonacci projection level of 1,759.
“Immediate support is maintained at the 76.4% Fibonacci retracement level of 1,610, with stronger support at the 61.8% level of 1,564, followed by the 50% level at 1,527.”
Meanwhile, Apex Securities expects the local bourse to remain on a positive trajectory, supported by improved global sentiment following the strong US GDP data.
“While the FBM KLCI has shown resilience, the softer performance across the broader market suggests investors remain selective. Investors will keep a keen eye on US initial jobless claims later today for further indications of the Fed’s policy direction.
“Buying interest in Malaysian equities is likely to be supported by year-end institutional rebalancing and selective accumulation in heavyweight and domestically oriented stocks,” Apex said.
Meanwhile, Malacca Securities believes the FBM KLCI may see some profit-taking today after its recent rally, as trading activity typically softens during the holiday week.
“However, we expect the FBM KLCI to end the year higher, with banking stocks leading the index,” it said.
The brokerage is optimistic about the news that Betamek has secured a six-year, RM176mil contract from Perodua to supply electronic components for a new vehicle model.
Betamek has recorded increasing revenue, net profit, and net profit margins since listing, with annualised FY26 revenue and profit expected to exceed FY25.
“Lastly, traders may position in Malaysia Smelting Corp
, Southern Cable, and Evergreen Max Cash Capital, supported by their underlying demand and the latter may be boosted by the ongoing gold rally,” Malacca Securities said.
Among the gainers, United Plantations rose 50 sen to RM29.90, PETRONAS Gas added 26 sen to RM18.26, MI Technovation gained 15 sen to RM2.95 and Heineken climbed 10 sen to RM22.96.
On the other hand, F&N slid 48 sen to RM36.06, Malaysian Pacific Industries lost 24 sen to RM32.50, Hong Leong Industries fell 10 sen to RM16.60 and PETRONAS Dagangan declined 10 sen to RM19.66.
