Cairo – Mubasher: The indices of the Egyptian Exchange (EGX) may rise and stop seeing profit-taking on Wednesday if liquidity gap is plugged, analysts told Mubasher.
The benchmark EGX30 index is expected to maintain the bull run today as it has resistance at 17,250 points and has an upward potential at 17,500 points, economist and capital market expert Safaa Fares said.
Fares also added that the index has support at 17,050 points and a downward potential at 16,900 points.
The small- and medium-cap EGX70 index has resistance at 910 points and an upward potential at 930 points, she indicated.
The main indices of the EGX are likely to test near resistance level in case liquidity ratios were high, head of capital market committee at the African Economic Council Ayman Fouda said.
The EGX30 has a short-term resistance at 17,260 and 17,331 points, and may break above 17,375 to 17,500 points, Fouda highlighted, adding that the index has support at 17,000 and 16,800 points.
The EGX70 index has a short-term resistance at 892 and 900 points, while it has support at 878 and 864 points, he pointed out.
Fouda recommended investors to hold onto their stocks in light of the upward trend and to allocate profits of stocks that hit near resistance levels, in line with keep liquidity to add new buying positions near support levels of stocks with positive financial news and accumulations.
