JCI Thursday Projected to Move to Level 6.400, Watch the Stock Recommendations

JAKARTA - The Composite Stock Price Index (JCI) is predicted to move to the level of 6,400 in today's trading, Thursday, July 23, after yesterday closed 0.09 percent lower to 6,334.4.

Phintraco Sekuritas in its research said the weakening was mainly influenced by profit-taking after a significant strengthening in recent weeks.

On the domestic side, Bank Indonesia decided to maintain the BI Rate at the level of 5.75 percent, below market expectations which estimated an increase of 25 bps to 6 percent.

Phintraco Sekuritas explained that the decision reflects the confidence of Bank Indonesia in the stability of the rupiah exchange rate and inflation which remains under control, while maintaining the room for domestic economic growth.

"Technically, the JCI is still moving above the MA5 and MA20 and the MACD histogram which remains in the positive area. Thus, we estimate that the JCI will move in the range of 6,400 on Thursday's trading," wrote Phintraco Securities.

Meanwhile, MNC Securities estimates that the JCI still has the opportunity to continue strengthening to test 6,441-6,545. However, it remains vigilant for potential corrections in the short term to test 6,202-6,282.

MNC Sekuritas recommends four stocks for trading today, namely AADI, CUAN, PTBA, and VKTR.