Emergency PPKM Still Overshadows JCI Rate, Analyst Recommends Bank Shares Owned By Hartono Brothers Conglomerate

Indonesia Stock Exchange Building. (Angga Nugraha/VOI)

JAKARTA - The Composite Stock Price Index (JCI) in today's trading, Monday, July 5, is expected to turn lower again, after last weekend being able to stay in the green zone with a 0.28 percent strengthening to the level of 6,023.

PT Pilarmas Investindo Sekuritas analyst Maximilianus Nico Demus said that the JCI in trading earlier this week will move varied with a limited tendency to strengthen towards the resistance target at the level of 6,067.

"Based on technical analysis, we see that the JCI currently has the opportunity to move varied with limited potential for strengthening and trade in the range of 5,945-6,067," said Nico Demus in his research.

However, he explained, the critical level of the JCI will still be a concern for investors.

"The potential for correction is certainly still there. So far, the implementation of the Emergency PPKM can still be anticipated by market players and investors," he said.

He further said that the JCI rate, which is estimated to move varied in a limited upward trend, could be responded to by investors by collecting shares of PT PP (Persero) Tbk (PTPP), PT Mitra Adiperkasa Tbk (MAPI), a bank owned by the Hartono Brothers conglomerate PT Bank Central Asia Tbk. (BBCA), and PT Japfa Comfeed Tbk (JPFA).

Meanwhile, Artha Sekuritas Indonesia analyst Dennies Christopher Jordan said the JCI is predicted to weaken on Monday, July 5. Investors, according to him, are still observing the development of COVID-19 cases that continue to soar and the implementation of emergency PPKM.

"Investors will still focus on observing the development of COVID-19 cases in Indonesia and the implementation of emergency PPKM in Java and Bali," said Dennies.

According to Dennies, the JCI has the potential to return to the 5,900 area today. He projects that JCI will move within the support range of 5,997-6,010 and resistance at 6,039-6,055.