By: Heba El-Kordy
Cairo – Mubasher: The Egyptian Exchange (EGX) is expected to see a short-term negative rebound at 14,250 and 14,270 points, analysts told Mubasher.
Technical analyst at Jazira Securities Brokerage Ahmed Thabet said that the EGX would see a negative performance on the short term.
The benchmark EGX30 index may face rebounds that push it to the levels of 14,250 and 14,270 points and then to 13,800 points, Thabet highlighted.
The EGX would maintain a long-term bullish performance over the coming period as long as the EGX30 index is settled above 13,200 points, he added.
The analyst mentioned that the EGX were not highly affected by the Saudi Royal anti-corruption decisions, as the EGX30 index did not break below 14,000 points on Sunday.
The Saudi situation has frightened Egyptian investors that the EGX may see sideways moves, analysts told Mubasher, assuring that the market would not be impacted.
The EGX30 index is likely to retest levels range between 14,320 and 14,385 points if it settled above 14,100 points, head of capital market committee at the African Economic Council Ayman Fouda told Mubasher.
The index may retest support at 14,100 and 14,000 points, Fouda added.
The EGX70 index has resistance at 795 and 803 points, while it has support at 773 and 765 points, he indicated.
He recommended well observation of stocks and partial profit-taking on stocks which reached close resistance levels, in line with keeping a sufficient liquidity in investment portfolios.
The EGX closed Sunday’s session in the red zone, pressured by local selling.
Translated by: Mai Ezz El-Din
