Quoted from Bisnis.com – The composite stock price index (IHSG) is expected to strengthen in trading today, Wednesday (25/11/2020).
On trading Tuesday (24/11), parking in the green zone strengthened 0.85 percent to the level of 5,701.02. In mid-trading, the index touched the level of 5,710 which is the highest level of JCI in the last 8 months.
A total of 291 stocks rose, 171 stocks fell, and 171 stocks traded stagnant. Total trade transactions reached IDR 29.50 billion with a transaction value of IDR 13.88 trillion.
Meanwhile, foreign investors recorded a net buy of Rp. 124 billion.
Reliance Sekuritas Indonesia Equity Technical Analyst Lanjar Nafi said technically the JCI moved strongly and managed to break out the 5,700 psychological resistance. The index seems to ignore the warning signals of the stochastic and RSI indicators which have overbought momentum.
“The next JCI movement will be more of an attempt to survive above the psychological level of 5,700 as a further signal of strengthening or even the potential for profit takinh action,” he said in a research received by Bisnis, Wednesday (11/25/2020).
Lanjar estimates that JCI has limited potential to strengthen with support-resistance levels at 5,716-5,622.
Meanwhile, Indosurya Sekuritas Director William Surya Wijaya said that the index currently looks like it still has the potential to move into the green zone. Meanwhile, sentiment from global and regional market movements also overshadowed today’s JCI movement
“If there is a reasonable correction, investors can still take advantage of the momentum to make accumulated purchases with short-term targets,” he said.