IHSG on Wednesday Tries to Return to Level 7,500, Check Out the Stock Recommendations

Illustration. (Photo: Doc. Antara)

JAKARTA - The Composite Stock Price Index (IHSG) tested the highest level or resistance in today's trading, Wednesday, November 6. Phintraco Sekuritas in its research said that IHSG will move in the range of resistance 7,500, pivot 7,450, and support 7,400.

Phintraco Sekuritas said that IHSG today has the opportunity to test resistance 7,500. Technically, the Stochastic RSI formed a golden cross in the overbought area along with the rebound on Tuesday, November 5. The rebound also formed a white marubozu pattern after the long lower shadow the previous day.

"The combination of these two patterns is a strong indication of a minor bullish reversal," wrote Phintraco Sekuritas.

Phintraco Sekuritas said that the strengthening of the JCI occurred when the realization of economic growth slowed to 4.95 percent yoy in the third quarter of 2024 from 5.05 percent yoy in the second quarter of 2024. The market seems to believe that this condition is a catalyst for BI to follow the Fed's aggressiveness in cutting the benchmark interest rate.

"The market may also be hoping for potential fiscal stimuli from the new government," explained Phintraco Sekuritas.

From economic data, Phintraco Sekuritas said that the market will digest the Japanese, German, and Euro Area service sector index data scheduled for release today. All three are expected to post an increase in the service sector index in October 2024.

Still from Europe, Phintraco Sekuritas said the market is anticipating speeches from the German President and the European Central Bank (ECB) tonight. Still externally, the market will observe the interim results of the vote count for the United States Presidential Election (US Presidential Election) which is expected to be announced gradually in several states this morning.

Phintraco Sekuritas recommends five stocks for today's trading, namely INCO, AKRA, TINS, ANTM, and MYOR.