IHSG Opened Strongly On Monday, Analyst Recommends BCA And Wijaya Karya Shares

Indonesia Stock Exchange Building. (Angga Nugraha / VOI)

JAKARTA - The Jakarta Composite Index (IHSG) opened in the green zone in early trading week. JCI opened higher by 0.51 percent or 24.95 points to 4,951.69 on Monday, October 5 trading.

Opening the trade, 78 stocks rose, 22 stocks fell, and 41 stocks remained stagnant. The trading volume was recorded at 94.50 million shares with a transaction value of IDR 59.10 billion.

JCI rate in today's trading is expected to continue the correction trend, after moving negative last weekend and closing down 0.87 percent at 4,926 levels.

"Technically, it indicates the potential for further correction in the JCI movement," said PT Binaartha Parama Sekuritas analyst Muhammad Nafan Aji Gusta Utama in his research.

According to Nafan, so far the JCI is trying to stay above the support level of 4,865, while the closest resistance target that is trying to reach is at 4,975.

He further said, the potential for further weakening in the JCI rate could be exploited by investors by accumulating the purchase of shares of PT Bank Central Asia Tbk (BBCA), PT Bukit Asam Tbk, and PT Wijaya Karya Tbk (WIKA).

Meanwhile, PT Indosurya Bersinar Sekuritas analyst William Suryawijaya said the JCI movement at the beginning of this week still had the potential to strengthen, with a support-resistance range at the level of 4,889-5,002.

"Sentiment from global and regional market movements and the continued occurrence of capital outflows will overshadow the JCI movement," William said.

However, he explained, JCI still had the potential to turn stronger, as long as it was able to maintain a support level. "Today JCI still has the potential to move higher within a limited range," said William.

He said investors could respond to the opportunity for a technical rebound by collecting shares of PT Astra International Tbk (ASII), PT Unilever Tbk (UNVR), PT Bank Central Asia Tbk (BBCA), and PT Semen Indonesia Tbk (SMGR).