KUALA LUMPUR: Bursa Malaysia is likely to trend sideways, with the benchmark index moving between 1,700 and 1,710 levels, said a dealer.
Inter-Pacific Securities Sdn Bhd head of Research Pong Teng Siew said the local market had entered into a period of congestion following the recent gains, and it was likely to enter sideways mode.
“It is not likely to move any further, but after the profit-taking activities, maybe it will enter a quieter trading, and see range-bound trading at the levels between 1,700 to 1,710,” he told Bernama.
As the market sentiment remained tepid over the past two days, Pong reckoned the downtrend would continue to linger until the following week.
“As market sentiment is still too weak to recoup losses, it is more likely to keep the losses, and lead to a little rebound further by end of the week,” he said.
For the week just ended, the local market saw range-bound trading, supported by the better-than-expected gross domestic product data and affected by losses in heavyweights led by trade and services counters.
The KLCI began to lose its upward momentum since Thursday due to profit-taking activities, and in line with the downtrend on the regional markets.
On a week-to-week basis, the FBM KLCI lost 9.33 points to 1,698.35 from 1,707.68 last Friday.
The FBM Emas Index fell 45.66 points to 11,975.51, the FBMT 100 Index reduced 46.8 points to 11,652.55 and the FBM Emas Syariah Index dipped 134.6 points to 12,390.26.
On a sectoral basis, the Finance Index surged 60.7 points to 15,127.70 and the Industrial Index advanced 7.37 points to 3,285.28, but the Plantation Index dropped 76.07 points to 8,070.35.
Weekly turnover expanded to 13.88 billion units worth RM12.59 billion from 11.34 billion units worth RM 12.19 billion previously.
Main Market volume widened to 10.12 billion shares valued at RM11.92 billion against 8.22 billion shares valued at RM11.62 billion. Warrant turnover rose to 1.06 billion units worth RM147.99 million from 872.14 million units worth RM113.42 million.
The ACE Market increased to 2.35 billion shares worth RM511.03 million from 2.16 billion shares worth RM450.25 million. — Bernama