JCI Opens Stronger After The 75th Anniversary Of RI, Look At BUMN And Property Shares

Indonesia Stock Exchange Building. (Angga Nugraha / VOI)

JAKARTA - The Jakarta Composite Index (IHSG) opened higher on trading Tuesday, August 18. The JCI opened up 0.13 percent or 6.95 points to 5,254.64.

Opening trades, 27 stocks rose, 18 stocks fell, and 23 stocks remained unchanged. The trading volume was recorded at 16.52 million shares and was transacted for Rp7.12 billion.

Binaartha Sekuritas Indonesia analyst M Nafan Aji Gusta Utama projects that the index will move up in today's trading. The JCI will be in the support and resistance area at the level of 5,172 to 5,347.

"The index still has strengthening momentum, so technically it is still predicted to move positively," Nafan said in his research.

Some of the shares he recommended for today's trade, namely PT Garuda Indonesia Tbk (GIAA), PT Jasa Marga Tbk (JSMR), PT Pakuwon Jati Tbk (PWON), PT London Sumatra Tbk (LSIP), PT Lippo Karawaci Tbk (LPKR) , and PT Indofood CBP Sukses Makmur Tbk (ICBP).

JCI movement this week will be influenced by external or global sentiment. Director of Anugerah Mega Investama Hans Kwee said that one of the influencing sentiments was that the impasse in discussing fiscal stimulus in the United States Congress was a negative sentiment for financial markets.

"If there is no agreement in the short term it will be a negative sentiment for the market," he said.

In addition, market players will also be watching the meeting of senior officials from China and the US via video conference to review the Phase 1 trade agreement signed by the two countries in January.

Another external factor is the UK's move which other countries will likely overtake to add more countries to the quarantine list.

These sentiments will have a negative effect on the index movement. Meanwhile, US jobless claims data that fell below 1 million for the first time since the COVID-19 pandemic will provide positive sentiment.

"But there are still more than 28 million people receiving unemployment checks and that shows the labor market and the American economy is still weak," he said.

Jokowi's Speech Has No Effect

From an internal perspective, President Joko Widodo's speech at the DPR / MPR Plenary Session did not receive much response from the market. He said that the economic assumptions submitted are already priced in or taken into account by the market.

"The hope of economic recovery in 2021 is seen from the assumption of macro data in the President's speech," he said.

Seeing some of these sentiments, Hans estimates that JCI has the opportunity to weaken in today's trading session with support at 5,178 to 5,119 levels and resistance at 5,218 to 5,300 levels.