KUALA LUMPUR: The FBM KLCI fell slightly in morning trading after it returned above the 1,680 mark in the previous session with investors looking out for new catalysts to spur buying interest.
The benchmark index was down 1.91 points to 1,678.41 as traders took some profit following the strong rally.
According to TA Securities, Bursa Malaysia tracked gains in regional markets in the previous session as traders largely shrugged off the recent US military intervention in Venezuela.
However, it said stronger buying momentum and meaningful domestic catalysts are needed for the index to sustain its upward momentum.
"Immediate support stays at the September 2016 low of 1,645, with stronger support coming from the 76.4%FR (1,610) followed by the 61.8%FR (1,564). Immediate resistance remains intact at the October 2015 high of 1,727, with next upside hurdle coming at the 123.6%FP (1,759), followed by tougher resistance at the 138.2%FP (1,804)," it said in its market report.
Meanwhile, Malacca Securities said the RM100 government cash assistance, which is to be credited to the accounts of eligible Malaysians in February, coupled with a stronger ringgit, is expected to spur buying interest for 99 Speed Mart.
The research firm is also bullish on Life Water, which remains relatively cheaper than Spritzer, and has room for further upside.
"Beside healthier margins as compared to the peers, we foresee Life Water to benefit from ‘Visit Malaysia 2026’, particularly given Sabah’s position as a strategic tourism destination," it said in a note.
Additionally, Malacca Securities is anticipating trading oportunities in Lim Seong Hai, supported by it sizeable orderbook.
Laggards in the morning session included Nestle down 90 sen to RM114.80, MPI falling 38 sen to RM31.12 and PETRONAS Dagangan sliding 16 sen to RM19.88.
CIMB slumped 12 sen to RM8.12 after the previous day's rally, while Press Metal
dipped eight sen to RM7.05 and TM shed eight sen to RM7.78.
Top actives on the market included MMAG up 1.5 sen to 8.5 sen, Insights Analytics rising six sen to RM1.52 and SNS Network gaining 2.5 sen to 55 sen.
