Cairo – Mubasher: The Egyptian Exchange (EGX) is expected to open Thursday’s trading session in the red zone amid the anticipation of the Central Bank of Egypt’s (CBE) decision over interest rates.
The benchmark EGX30 index may maintain its upward trend as long as it is moving above 13,950 points, market analyst at Pioneers Holding Mohamed Gaballah told Mubasher.
The index has resistance at 14,200 points and an upside potential at 14,600 points, Gaballah added.
The EGX70 index is seeing a sideways performance which will carry on over the coming period as blue chips attract more liquidity, the analyst noted.
Meanwhile, head of capital market committee at the African Economic Council Ayman Fouda forecasted the EGX to open Thursday’s trading session in the red zone.
The EGX’s indices are likely to see sideways-to-declining performance amid the anticipations of the CBE's Monetary Policy Committee (MPC) to be held today, Fouda highlighted, adding that the market is still waiting for positive new that pump new liquidity into blue chips.
The EGX30 index may test the levels of 14,100 and 14,200 points and see support at 13,960 and 13,780 points, he pointed out.
The EGX70 is seeing a sideways-to-declining performance, he indicated, noting that it has resistance at 773 and 777 points and has support at 758 and 750 points.
Fouda recommends medium-term and long-term investors to monitor stocks well and activate medium-term stop-loss points, in line with keeping the liquidity of investment portfolios to resume buying after the recent correction phase end and new positive incentives appear.
