Cairo – Mubasher: The Egyptian Exchange (EGX) is expected to continue its positive performance, and the benchmark EGX30 index is likely to break above 13,700 points, analysts told Mubasher.
“The index rose with a good volume closing at 13,432 points, the current rising wave is expected to continue towards 13,560 points,” MubasherTrade Research forecasted early Sunday.
Meanwhile, Saeed Al-Feki, CEO of Osool ESB Securities Brokerage, projected that the EGX30 index will break 13,700 points this week on the back of a purchasing power that appeared in last week’s sessions, as seen in the performance of most stocks.
The benchmark index is likely to target 14,000 points after reaching 13,700 points, in the event that stocks' attractive prices continue, Al-Feki added.
The small- and medium-sized enterprises EGX70 index is still seeing a collective sideways performance, hovering around the level of 690 points and 700 points, the analyst said, noting that the index was likely to face resistance at 710 points over the coming period.
Al-Feki forecasted that investors were likely to form new buying positions in blue chips following the correction that took place in August.
Ayman Fouda, head of the capital market committee at the African Economic Council, said that the EGX’s positive performance is anticipated to carry on during the second week of September.
Fouda said that the EGX30 index was set to retest the levels of 13,550 and 13,600 points to reach 13,715 points, noting that the index was likely to see support at 13,420 and 13,350 points.
The EGX70 index is trying to remain stable around 690 points, Fouda added, pointing out that the index may target 696 and 705 points, and may face support at 681 and 677 points.
He advised investors to keep stocks whose financial disclosures have been positive, and which are seeing collective buying so as to benefit from their bullish rebound. Fouda also advised speculators to be patient during quick daily trading on stocks, along with buying on margin.
