The JCI Has the Potential to Continue to Rebound, These Stocks Can Be Options

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Jakarta Composite Index (IHSG) is projected to continue strengthening in today's trading, Tuesday, March 14, after rising 21.66 points (0.32 percent) yesterday to 6.786.9.

Phintraco Sekuritas in its research estimates that the JCI will again fluctuate within the 6.750-6.820 range on Tuesday. JCI today is expected to move at resistance 6.850, pivot 6.800, support 6.750.

Phintraco Sekuritas explained that the significant weakening of the majority of indices in Europe yesterday was feared to affect the psychological market in Indonesia today.

"Thus, today's JCI is expected to fluctuate again in the range of 6.750-6.820. Even though technically there are indications of a further rebound," wrote Phintraco Sekuritas.

Phintraco Sekuritas added that developments in the banking sector in the United States (US) motivated a number of economists to change their views on the direction of The Fed's policy. A number of economists are starting to consider the possibility of The Fed maintaining its benchmark interest rate in the FOMC on March 22, 2023, from previous expectations of a 25-50 bps increase.

Thus, Phintraco Sekuritas said, there is a possibility that Bank Indonesia's (BI) RDG will also maintain its benchmark interest rate on March 16, 2023. This has the potential to trigger further strengthening of the Rupiah exchange rate in the short term. The Rupiah exchange rate strengthened 0.55% to IDR 15.360 per US dollar on Monday afternoon.

Phintraco Sekuritas recommends monitoring profit opportunities in the ADRO, BIPI, BRIS, ERAA, INDF, ISAT, and MAPI stocks.