Cairo – Mubasher: Opinions differ as to EGX performance on Tuesday, namely following the delay of Beltone’s bid for CI Capital as well as Standard & Poor’s negative outlook for the economic situation in Egypt.
The benchmark and major stocks are expected to re-test previous resistance levels amid growing buying appetite of institutions and individuals, said Ayman Fouda, head of capital market committee at the African Economic Council.
The main index is to retest the level of 7,520 points, while having support at 7330 points and then 7275 points, Fouda added.
The small and mid-cap index EGX70, he continued, is moving sideways in a narrow channel, targeting the 370-374 area, while having support at the 365-361 area.
Hanan Ramses, CEO of Cairo Securities said traders are likely to re-focus on the small and medium stocks in the mid-week session, while the bourse is likely to witness a slight and cautious rise backed by foreign investor’s growing optimistic sentiments.
Mona Hassan, Chief technical analyst at Mubasher, said EGX30 still gives a negative outlook and is forecast to test the mark of 7,280 points amid a broad-selling wave
Yesterday, the main index gained 36.27 points, or 0.49%, to end at the mark of 7,409.27 points.
