Cairo - Mubasher: The Egyptian Exchange (EGX)is expected to see positive performance on Thursday, supported by the news of increasing the Saudi investments in Egypt to nearly $8 billion, technical analysts told Mubasher.
"The positive sentiment is forecasted to control the market, which will encourage the investors to build new positions," said Ayman Fouda, head of capital market committee at the African Economic Council.
The benchmark index EGX30 will gain support at the levels of 6,450 and 6,420 points respectively, noted Fouda adding that it will face resistance at the levels of 6,530 and 6,580 points.
As for the small and mid-cap index EGX70, the analysts pointed out that, it will gain support at the levels of 357 and 352 points, while it will face resistance at the levels of 362 and 366 points.
"The benchmark gains by more than 1% to the level of 6,488.5 points on Wednesday, is due to the news about boosting the Saudi investments in Egypt as well as the gains of the global markets," said Mahmoud Hossam, Investors Relations Manager at Mubasher Trade.
The main gauge is forecasted to extend sideways movement between the levels of 6,300 and 6,700 points on Thursday, noted the analyst.
On the previous session, the strong buying activity among institutions gave momentum to Egypt’s stock market on Wednesday, while retail traders ended as net sellers.
