JCI Predicted Weakening On Wednesday, Impact Of Falling Rupiah Exchange Rate

Illustration. (Photo: Doc. Antara)

JAKARTA - The Composite Stock Price Index (JCI) is expected to weaken again in today's trading, Wednesday, October 12, after closing yesterday at 6,939.14 or down 0.79 percent.

Artha Sekuritas analyst Dennies Christopher Jordan explained that the JCI closed lower yesterday in line with the weakening of global stock markets and concerns about more aggressive interest rate hikes. On the other hand, the weakening of the rupiah exchange rate to the level of IDR15,300 per US dollar put pressure on the JCI.

Dennis predicts the JCI will weaken in tomorrow's trading. Technically, the candlestick formed a three-black crows formation with the stochastic widened to form a dead cross indicating a potential weakness in the medium term.

"Investors will pay close attention to several releases of economic data from the United States and the development of the rupiah exchange rate which tends to weaken," said Dennis in his research.

Furthermore, Dennies estimates that the JCI will move at support levels of 6,895 and 6,917 and resistance at 6,981 and 7,023. The stocks that Dennies recommends for trading today are PT Barito Pacific Tbk (BRPT), PT AKR Corpindo Tbk (AKRA), and PT Medco Energy Indonesia Tbk (MEDC).