JCI On Weekend Is Expected To Weaken After BI Raises Benchmark Interest Rates

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Composite Stock Price Index (JCI) is expected to weaken in today's trading, Friday, September 23, after BI decided to raise interest rates.

JCI yesterday closed at 7,218.90 or rose 0.42 percent. Artha Sekuritas analyst Dennies Christopher Jordan in his research explained that the JCI closed higher even though it had weakened in early trading.

The JCI movement throughout the day yesterday was influenced by the policy of increasing the Fed's interest rate by 75 bps and Bank Indonesia's interest rate by 50 bps.

Dennis predicts the JCI will weaken in tomorrow's trading. Technically, the candlestick formed a long white body with increasing volume with the stochastic forming a golden cross indicating a potential strengthening.

An increase in Bank Indonesia's interest rate of 50 bps is considered good to balance the increase in the Fed's interest rate to suppress global inflation. Furthermore, Dennies estimates that JCI will move at support levels of 7,095 and 7,160 and resistance at 7,193 and 7,258.

The stocks that Dennies recommends for trading today are PT Wismilak Internasional Makmur Tbk (WIIM), PT Ramayana Lestari Sentosa Tbk (RALS), and PT Adaro Energy Indonesia Tbk (ADRO).