Asran: The trend of EGX30 is still sideways, tilting to the downside between 10400 and 10700 points
Ismail: Breaking 10700 points is the starting point of the main index, towards the 10950 points level
Stock exchange traders expected that the positive performance driven by the gradual return of liquidity to the main index shares would continue, and their performance would relatively improve, which would accelerate the end of the downward correction that dominated the market’s performance in the last period.
The main index of the Egyptian Stock Exchange EGX30 rose by 0.49% at the end of the session yesterday, Monday, to settle at the level of 10714.8 points, and the EGX70 EWI index rose by 0.72% to settle at the level of 2683.9 points.
Muhammad Asran, Managing Director of Arzan Securities Brokerage Company, suggested that the main index will continue in a sideways trend of falling between the levels of 10400 and 10700 points, unless efforts to solve the problems affecting the market succeed, or at least solve the tax crisis on transactions, whether by postponement or cancellation before end of this year.
Asran ruled out absorbing a large part of the liquidity in the new offerings that began with the offering of “E-Finance for Financial and Digital Investments”, as the second day of the public offering of the company’s shares witnessed a coverage ratio exceeding 31%, after exceeding the number of shares required by the end of the session 8 million shares, from The offered share, which at the time of writing this report amounts to 25.7 million shares.
He added that the index of small and medium-sized companies is qualified to penetrate the level of 2500 points, if the selling force appears fiercely again in the stocks that make up the index.
The EGX50 index of equal weights recorded an increase of 0.45%, stable at the level of 2288.2 points, the “EGX30 capped” index rose 0.15% and closed at the level of 13031.4 points, and the broader EWI EGX100 index rose by 0.44%, stable at the level of 3630.7 points.
The market recorded trading values of 1.18 billion pounds, with 435.5 million shares being traded, executed through 33.2 thousand buying and selling transactions, and 190 restricted companies were traded, of which 67 rose, and 66 shares declined, and the prices of 57 other shares did not change, to stabilize The market capital of the listed shares is at the level of 704.5 billion pounds.
Mohamed Ismail, Head of Technical Analysis Department at Roots Securities Brokerage Company, expected that the confirmation of breaching the level of 10700 points would be the beginning of the launch of the main index to the level of 10950 points, ending the bearish correction witnessed by the index as a result of the decline in the performance of the leading shares.
He pointed out that the vision is still positive, and if the index does not succeed in penetrating during the coming period, it will have the ability to penetrate it in the short term and test the resistance levels at 11,200 points, with the support of pumping liquidity into leading stocks that made their performance begin to improve relatively.
The net transactions of foreigners alone tended to buy at a value of 691.6 million pounds, with a 32.21% acquisition rate of buying and selling shares, while the net transactions of Egyptians and Arabs tended to sell, recording 646.6 million pounds and 44.9 million pounds, respectively, with an acquisition rate of 63.46%. and 4.33% of the transactions.
Individuals carried out 33.22% of the transactions, heading towards selling led by Arab individuals, who recorded a net sale of 29.86 million pounds, and Egyptian and foreign individuals recorded a net sale of 8.88 million pounds and 144.6 thousand pounds, respectively.
While institutions captured 66.78% of the trading, heading towards selling, with the exception of foreign institutions, which recorded a net purchase of 691.8 million pounds, while Egyptian and Arab institutions recorded a net sale of 637.8 million pounds and 15.1 million pounds, respectively.
The article, the stock exchange continues to rise, and the trading values record 1.2 billion pounds. It was written in the stock exchange newspaper.