KUALA LUMPUR: The FBM KLCI remained above the psychological 1,600-point level at midday on Thursday, supported by modest gains despite cautious investor sentiment and weaker market breadth.
At the midday break, the 30-stock index rose 3.06 points, or 0.19%, to 1,605.33 from yesterday’s close of 1,602.27.
Market breadth was negative, with 524 losers outnumbering 339 gainers, while 494 counters were unchanged. Turnover stood at 1.581 billion shares worth RM1.03bil.
TA Securities said muted technical momentum indicators suggest the FBM KLCI will remain cautious in the near term as investors await stronger domestic catalysts to sustain a recovery.
“Immediate support for the index is kept at the 61.8% Fibonacci retracement level of 1,564 points,” it said.
Stronger support is seen at 1,527 and 1,490 points, while immediate resistance is pegged at the October 2025 high of 1,659 points.
Further resistance is expected at the psychological 1,700-point level, followed by 1,759 points.
Meanwhile, Apex Securities said the FBM KLCI's recovery above the 1,600-point level could provide near-term relief, although persistent foreign selling and fragile sentiment may limit further gains.
It said elevated oil prices and geopolitical uncertainties continue to pose risks to inflation and corporate earnings, while investors remain cautious ahead of the US Federal Reserve's interest rate decision on Oct 29.
“Renewed optimism towards AI-related stocks following SpaceX’s strong revenue growth could support regional technology sentiment, with major technology companies’ earnings remaining a key catalyst,” it said.
Domestically, resilient economic growth and attractive valuations following the recent market correction could encourage selective bargain hunting in fundamentally sound blue chips.
However, Apex Securities said a sustained recovery would depend on improving market breadth and easing foreign fund outflows.
Newly listed Red Planet Bhd
surged 42.11%, or eight sen, to 27 sen, after trading between 25.5 sen and 29.5 sen.
Among the top gainers, Bintulu Port rose 30 sen to RM5.40, Kuala Lumpur Kepong gained 24 sen to RM20.32, United Plantations added 20 sen to RM30.46, while Hong Leong Industries climbed 18 sen to RM16.22.
On the other hand, Batu Kawan and Malaysian Pacific Industries (MPI) fell 20 sen each to RM19.08 and RM40, respectively, while Heineken shed 18 sen to RM12.88 and Mi Technovation declined 17 sen to RM6.46.
