JCI Tuesday Possibly Strengthened, Shares Of Bukalapak, Hypermart Managers, And Emtek Are Recommended

Illustration. (Photo: Doc. Antara)

JAKARTA - The movement of the Composite Stock Price Index (JCI) in today's trading, Tuesday, October 26, has the opportunity to rebound towards the resistance target at 6,677, after closing down 0.27 percent to 6,625 yesterday.

According to analyst of PT Pilarmas Investindo Sekuritas, Maximilianus Nico Demus, although technically the JCI has a limited chance of weakening, there is still potential for strengthening which will be boosted by global sentiment.

"Based on technical analysis, we see that currently the JCI has a limited opportunity to move lower and is traded at 6,552-6,677. However, there is potential for a strengthening there, driven by global sentiment. So, it is not impossible that there will be a reversal in the future, " said Nico Demus in his research.

From within the country, he said, there is positive sentiment related to the increase in demand for electric vehicles which will encourage an increase in nickel production.

"This is an advantage for Indonesia as one of the largest nickel producers in the world," he said.

He said the government estimates that by 2030 there will be 7.46 million electric vehicles with the need for refueling stations to reach 530 thousand units. Currently, a Taiwanese company, Foxconn, is committed to investing in the battery and electric vehicle industry in Indonesia.

However, Nico Demus continued, currently there is still negative sentiment from the global regarding the Chinese government's concern about the economic recovery in the country which will run more slowly.

"The risk of China's economic slowdown will run faster and this is recognized by market participants and investors," said Nico Demus.

For today's trading, he said, Pilarmas Sekuritas recommended investors to accumulate shares in the management of Hypermart PT Matahari Putra Prima Tbk (MPPA), PT Bukalapak Tbk (BUKA), and PT Elang Mahkota Teknologi Tbk (EMTK).