JCI Wednesday Awaiting BI RDG Results, Check Out Stock Recommendations

JAKARTA - The Jakarta Composite Index (JCI) is waiting for the results of the Bank Indonesia (BI) Board of Governors' Meeting (RDG) today, Wednesday, November 19.

The JCI yesterday corrected 0.65 percent or 54.96 points to the level of 8,361.93. Phintraco Sekuritas in his research said that the JCI correction occurred along with pressure from weakening global and regional exchanges which encouraged profit-taking in the domestic market.

In addition, the depreciation of the rupiah against the United States (US) dollar also increased sentiment.

Shares in the energy sector lead the decline, while shares in the property sector are the only sector that still records strengthening. Gold-related stocks are also further corrected due to the decline in global gold prices and plans to implement gold export duties by 7.5 percent to 15 percent by 2026.

Ahead of the Meeting of the Board of Governors of Bank Indonesia, the market tends to be careful. The consensus estimates that BI will hold the benchmark interest rate at the level of 4.5 percent.

From external means, market participants also observed the release of UK inflation and the estimated sloping euro area, as well as the FOMC minutes from the United States. Technically, analysts see selling pressure still dominant.

"MACD has the potential to experience a death cross, while Stochastic RSI has already formed a death cross in the overbought area. JCI is also closed below MA5, so there is a potential index to test support areas in the range of 8,300 to 8,325," explained Phintraco Sekuritas.

Area 8,400 is currently an important pivot point, while the nearest resistance is around 8,450. If the selling pressure eases and the sentiment of RDG BI according to market expectations, the chances of a reversal remain open.

For today's trading, Phintraco Sekuritas advises investors to pay close attention to solid fundamentals in the midst of market volatility, namely TPIA, CPIN, ISAT, BBRI, and ULTJ.