JCI At The Beginning Of The Week Opened Slightly Higher By 0.05 Percent To The Level Of 5,082.32

Indonesia Stock Exchange Building. (Angga Nugraha / VOI)

JAKARTA - The Composite Stock Price Index (JCI) opened slightly higher on Monday, July 20 trading. JCI opened higher by 0.05 percent or 2.73 points to the level of 5,082.32.

Opening trades, 74 stocks rose, 41 stocks fell, and 117 stocks remained unchanged. The trading volume was recorded at 67.86 million shares and was transacted for IDR 30.98 billion.

Anugerah Mega Investama Director Hans Kwee predicts the JCI will move in negative territory today for the next four days. According to him, technically the index will be in the range of support at 4,985-5,069 and resistance at 5,166-5,139 this week.

"This week we estimate that the JCI has the opportunity to weaken consolidation. The stock market will still be affected by the increase in cases of corona virus infection in various US states, the potential for semi-lockdowns and postponement of economic opening," said Hans in his research.

Hans explained that there were several negative sentiments that came from externals. One of them is about the increase in COVID-19 cases in the world.

In addition, market players are also waiting for the US government's decision regarding the new fiscal stimulus that will be disbursed amid the COVID-19 pandemic. This is needed to pump up the economy in the US.

Then, heating up relations between the US and China is still a negative sentiment for the stock market. Relations between the two countries have deteriorated again as the US takes issue with China's claim to resources in the South China Sea.

"Discussions of a new stimulus in the US will be of concern to market players following the end of several fiscal stimuli in the US on July 31, 2020," explained Hans.

A different opinion was expressed by PT Binaartha Sekuritas analyst, M. Nafan Aji Gustama. According to him, technically, there is a positive signal that has the potential to strengthen the JCI.

"Currently, JCI is trying to maintain the support level at 4,975, while the closest target resistance to be achieved is at 5,127 levels," Nafan said.

Thus, he explained, investors could take advantage of the JCI strengthening signal by buying shares of PT Bank Rakyat Indonesia Tbk (BBRI), PT Indofood Sukses Makmur Tbk (INDF), PT Ramayana Lestari Sentosa Tbk (RALS), and PT Summarecon Agung Tbk (SMRA). ).