The JCI Is Predicted To Strengthen Amid Sentiment Expected BI To Raise Benchmark Interest Rates

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Composite Stock Price Index (JCI) is predicted to strengthen in today's trading Wednesday, June 22, amid strong sentiment that Bank Indonesia projections to raise the benchmark interest rate at the Board of Governors' Meeting (RDG).

CEO of PT Yugen Bertumbuh Sekuritas, William Surya Wijaya, said that as the momentum for the release of interest rates approaches, the JCI movement pattern still looks comfortable in the range of reasonable consolidation with limited opportunities for increases.

Stable economic conditions coupled with the existence of issuers paying dividends helped support the JCI movement pattern for the foreseeable future.

"Today, the JCI has the potential to strengthen within the range of 6.888-7.074," William said in his research.

He recommended several stocks, including TLKM, BBCA, BBNI, BBRI, BINA, HMSP, UNVR, KLBF, WTON.

Meanwhile, Artha Sekuritas analyst Dennies Christopher Jordan said the JCI closed higher, continuing the previous strengthening. The movement was driven by the strengthening of the stock market, which was mostly driven by bargain hunting, where the weakening last weekend was considered to have entered the oversold phase.

Dennis predicts the JCI will strengthen in today's trading. Technically, the candlestick formed a higher high and a higher low with the stochastic widening after forming a golden cross in the oversold area indicating the potential to continue strengthening.

"Movement is expected to be limited ahead of Bank Indonesia's RDG in the middle of the week. In addition, investors will digest the results of the Fed's speech by Jerome Powell," he explained.