JCI Thursday Again Plunged, Check Its Stock Recommendations

Illustration. (Photo: Dok. Antara)

JAKARTA - The Composite Stock Price Index (JCI) is projected to weaken again in today's trading, Thursday, June 4, after yesterday's plunge of 4.11 percent or down 254.36 points to 5,941.07.

MNC Sekuritas in its research said that the weakening of the JCI was in line with the downward trend that had occurred previously.

"JCI is still in a downtrend phase, as we have stated in previous technical reports," explained MNC Sekuritas.

Pressure on the JCI was triggered by a number of sentiments, both from external and domestic sources. One of them is the weakening of the rupiah exchange rate against the US dollar which has approached the level of Rp. 18,000.

In addition, corrections also occurred in conglomerate stocks that had previously strengthened significantly in the last two trading days.

"This is coupled with negative sentiments from the outlook of rating agencies on Danantara, which also weighed on the index movement," he added.

For Thursday's trading, MNC Sekuritas estimates that the JCI still has the potential to continue the correction.

"JCI is still vulnerable to correction with support at 5,884 and resistance at 5,967," he explained.

Market participants will still pay attention to the movement of the rupiah exchange rate and the views of foreign institutions on Indonesia's economic prospects.

Meanwhile, a number of stocks that can be observed for short-term trading according to MNC Securities, including AADI in the range of Rp8,500-Rp9,125, BMRI at Rp4,220-Rp4,320, and MEDC at Rp1,340-Rp1,430.