JCI Wednesday Has A Chance To Strengthen, 7 Stocks Are Recommended

Illustration. (Photo: Doc. Antara)

JAKARTA - The Composite Stock Price Index (JCI) closed down 35.04 points or 0.51 percent to 6,843.79 at the end of trading last Tuesday. Analysts predict the JCI will move to consolidate in today's trading, Wednesday 8 November.

Phintraco Sekuritas in his research said, Stochastic RSI began to enter the overbought area, along with the positive scale widening of MACD. Thus, the JCI on Wednesday is estimated to be consolidated with a range of 6,800-6,900.

There are several sentiments that will affect the JCI today.

"From within the country, BI reported the position of Indonesia's foreign exchange reserves at the end of October 2023 of 133.1 billion US dollars or a decrease compared to the previous month's 134.9 billion US dollars," explained Pintraco Sekuritas research.

Furthermore, the decline in foreign exchange reserves was influenced, among others, by the payment of government foreign debt and the need for stabilization of the Rupiah exchange rate as a measure to anticipate the impact of the ban in connection with the increasing uncertainty in the global financial market.

"Even though it has decreased, the position of foreign exchange reserves is still equivalent to six months of imports and is above the international adequacy standard of around 3 months of imports," he added.

From external, Germany will release inflationary data which is expected to fall to 3.8 percent yoy from the previous 4.5 percent yoy. In addition, investors estimate the Fed will hold the benchmark interest rate back at the FOMC in December.

This was reinforced after the release of US Non-farm payroll data which experienced a slowdown last week. This week there were also several speeches from a number of high-ranking officials of the Fed related to the direction of the central bank.

Several top Federal Reserve officials, including Federal Reserve chairman Jerome Powell, are scheduled to appear in public this week.

The recommended stocks are AMRT, UNVR, ADMR, EXCL, INDF, ISAT, AND PANI.