JCI Monday Has the Opportunity to Test Level 6.000-6.100, See the Stock Recommendations

JAKARTA - The Composite Stock Price Index (JCI) has the opportunity to test the level of 6,000-6,100 in today's trading, Monday, July 27, after last weekend closed down 1.88 percent to 6,196.4.

Phintraco Sekuritas in its research said that the weakening of the JCI last week was due to negative sentiment from the rise in crude oil prices which triggered profit taking. All sectors experienced corrections, with the largest decline in the non-primary consumer goods sector of 3.04 percent.

The conflict in the Middle East if prolonged is feared to keep oil prices at high levels for a long time, which will result in a renewed increase in the global inflation rate.

Adding to the negative sentiment, the United States (US) imposed an additional 10% import tariff on Indonesian products.

Phintraco Sekuritas explained that the JCI closed below the MA5 level, but still remained above the MA10 level. The positive histogram of the MACD continued to narrow and the Stochastic RSI experienced a reversal of direction towards the pivot area.

"So the JCI has the potential to test the level of 6,000-6,100 today if the oil price still remains at a high level," wrote Phintraco Sekuritas.

Meanwhile, MNC Sekuritas estimates that the nearest strengthening area for the JCI is at the level of 6,198-6,222.

MNC Sekuritas recommends four stocks for today, namely BIPI, BKSL, DEWA, and RAJA.