The JCI on Wednesday Has the Potential to Weaken, These are Stocks to Watch

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Composite Stock Price Index (IHSG) has the potential to weaken again in today's trading, Wednesday December 7, after closing yesterday with a correction of 1.36 percent to a level of 6.892.

The Phintraco Sekuritas research team estimates that the JCI resistance level in today's trading is 6.960, with a support level at 6.815.

"JCI formed a black marubozu pattern and support broke low at 6,880 on Tuesday's trading. Technically, JCI is still prone to further weakness on Wednesday. The next critical support level is at 6.815," wrote research by Phintraco Sekuritas.

The sell-off in a number of blue chip stocks was observed to continue in Tuesday's trading. Even so, Phintraco Sekuritas assessed that the latest economic sentiment was actually relatively positive.

Most recently, the Financial Services Authority (OJK) recorded banking sector credit growth of 11.95 percent on a year on year (yoy) basis in October 2022. Gross non-performing loans (NPL) fell to 2.72 percent in line with the decline in COVID-19 restructuring loans to IDR 514.07 trillion as of October 2022.

"Thus, market participants can look again at opportunities to buy on support in banking stocks, especially those that have entered the overbought area," wrote Phintraco's research.

Several banking stocks that investors can watch for trading tomorrow include BBCA, BBNI, BBRI and BTPS. In addition, buy on support opportunities can be observed in mining stocks, such as ADRO, PTBA, ITMG, PGAS and AKRA.

"This is in line with the rebound in energy commodity prices on Tuesday. Crude oil prices rebounded 1.07 percent to USD 83.5 per barrel on Tuesday afternoon," explained Phintraco's research.