JCI Is Expected To Move Weaker On Wednesday Due To Profit Taking And Rising Cases Of COVID-19

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Composite Stock Price Index (JCI) is estimated to weaken in today's trading, Wednesday, February 9 after yesterday's decline of 0.23 percent or 15.42 points so that it is parked at the level of 6,789.52.

Artha Sekuritas analyst Dennies Christopher Jordan said the JCI in yesterday's trading experienced a correction after reaching the highest level. Dennies said that the weakening was due to profit taking and due to concerns about the increase in COVID-19 cases in the country, which was still high.

As for today's trading, Dennis predicts the JCI will weaken like yesterday. He explained that technically the JCI candlestick formed a higher high and a higher low, but the stochastic indicator showed a deadcross indicating the range for strengthening was limited and could potentially be corrected again.

"Investors will also be more conservative in the middle of the week ahead of the RDG and the setting of interest rates by Bank Indonesia," said Dennies in his research.

Artha Sekuritas estimates JCI will move with support at 6,759 and 6,729 and resistance at 6,839 and 6,889. The recommended stocks include PT Bumi Serpong Damai Tbk (BSDE), PT Media Nusantara Citra Tbk (MNCN), and PT Bank Central Asia Tbk (BBCA).