By: Mahmoud Gamal
Dubai-Mubasher: The UAE stock markets are likely to witness profit-taking on Monday amid investors’ anticipation of changes in oil prices and global stocks, analysts told Mubasher.
“Profit-taking must be one step far from the bourses as buyers were not shy to make use of cheaper stocks the last sessions,” said Ahmed Al-Hosni, head of technical analysis department at Traders Chamber.
Breaking below 3,080 points, the DFMGI will move to 2,994-2,990 points, according to Al-Hosni.
He advised traders to make profit-taking if the index did not stabilise at such levels.
The DFMGI is currently seeing a downward trend on the medium term since it is below 3,600 point, Al-Hosni said, adding that Dubai’s stock market will have a chance to become stronger, if its index reached 3,102 points.
The UAE equities will continue to be significantly affected by the developments in the global economy and oil prices in the coming sessions, unless catalysts that can attract conservative liquidity emerge, according to Wadah Al-Taha, member of the National Advisory Board of Chartered Institute for Securities &Investments (CISI).
Commenting on Abu Dhabi’s market, capital market analyst Ahmed Al-Zahouri said that “the index has given a positive signal, and is now targeting 4,350 points.”
Al-Zahouri pointed out that 4,150 points will become the support area for the Abu Dhabi’s main index, if the market saw declines throughout this week, saying that level will not be broken below.
Translated by: Julian Nabil
