EGX30's inching up to 16600 challenged by a profit-taking revival: analysts

Sunday 24 June 2018 09:57 PM

Egyptian Stock Exchange
Egyptian Stock Exchange

By Mona Abd El-Bary

EGX30 is expected to head towards 16600pts this week, then a limited profit-taking may follow driving the benchmark  index to dip again on the back of investors awaiting a Central Bank of Egypt's decision regarding interest rates next Thursday.
Analysts are wary over  a dwindling  transaction volume this week after capitalization sank last week to EGP915bn as compared with EGP9.8bn a week earlier.
" Provided volumes manage to rebound, EGX may go up  this week driving EGX30 to touch 16600pts only to retreat by the end of week to 16000pts level, " said managing director of Alnaeem Brokerage Tarek Abaza.
" EGX30 is expected to bounce back slightly this week on the back of the rallies recorded last week as well as the rebounding blue-chips driving the index up to 16600pts and 16100pts this week and to 789pts and 812pts for EGX70," said head of technical analysis at Aman Brokerage.
Regarding stocks of EGX30, the Commercial International Bank is expected to move between EGP84.3 and EGP88 as compared with EGP85.73 on Thursday, he continued.
Also, EFG-Hermes may move between EGP23 and EGP24.70 as compared with EGP23.66,  Global Telecom between EGP4.25 and EGP4.65, the Egyptian Iron & Steel Company between EGP6.4 and EGP7.15 as compared with EGP6.77, Ezz Steel between EGP28.80 and EGP31.5 as compared with EGP30, SODIC between EGP23 and EGP25 as compared with EGP24, and Pioneers Holding Financial Investments between EGP8.20 and EGP9 as compared with EGP8.5.
Regarding the expected performance of small and medium-sized companies, El-Asaar said that stock of the General Co. For Ceramic & Porcelain Products may move between EGP4.20 and EGP4.85 as compared with EGP4.33, the Oriental Weavers between EGP12.70 and EGP13.5 as compared with EGP12.6, the Oil Extracts Products Co. between EGP1.55 and EGP1.75, and the South Valley Cement Co. between EGP3.85, EGP4.25 as compared with EGP3.97, the Egyptian Media Production City between EGP6.40 and EGP7.10 as compared with EGP6.6, and Electro Cable Egypt between EGP0.85 and EGP0.90.