These Are Some Sentiments That Will Affect JCI At The Beginning Of The Week

Illustration. (Photo: Doc. Antara)

JAKARTA - Analysts said that the movement of the Jakarta Composite Index (JCI) on Monday, July 25, is expected to be influenced by several sentiments.

Panin Sekuritas analyst Christian Anderson Yuwono assessed that the sentiment that could affect the JCI came from the policy of Bank Indonesia (BI) which still maintained interest rates.

According to Anderson, this decision removes funding concerns, especially for technology-based stocks. As a flashback, the central bank decided to keep the BI 7-day reverse repo rate (BI7DRR) at 3.5 percent.

"For foreign sentiments that need to be considered is the announcement of the United States (US) interest rate decision which will be announced next week," he said in his research.

According to him, JCI will move at the support level of 6,761 and the resistance level at the level of 6,893 on Monday (25/7). Investors can look at technology-based stocks as well as digital banking stocks.

Meanwhile, Binaartha Sekuritas analyst Ivan Rosanova said that next week the stock market will likely lack sentiment from economic data. The market is still waiting for the release of inflation data in early August 2022.

Looking at the movement of Asian indices which tend to move mixed, as well as the strengthening of European markets, which have limited gains and tend to fluctuate until Friday afternoon, July 22, it is estimated that the JCI will strengthen although the possibility is limited on Monday, July 25.

"The index will be more prone to profit-taking. Ahead of the FOMC which will be held on July 26-27, there is a possibility for profit-taking to take place considering the volatility of the stock market this year is quite high," said Ivan.