Accompanied By Several Positive Sentiments, JCI Wednesday Is Expected To Strengthen

JAKARTA - The movement of the Composite Stock Price Index (JCI) is predicted to strengthen in today's trading, Wednesday, May 10, after yesterday's increase of 0.15 percent or 10.35 points to the level of 6,779.98.

Phintraco Sekuritas in his research observed the JCI staying above support level 6,710 on Tuesdayq. JCI has the opportunity to continue rebounding, testing 6,800-6,810 this Wednesday.

"The potential rebound is strengthened by the potential golden cross in the oversold area in the Stochastic RSI indicator which is followed by a negative slope narrowing in MACD. The transaction volume is relatively solid to support the rebound on Tuesday 9 May," explained research by Phintraco Sekuritas.

The increase in Indonesia Consumer Confidence Index to 126.1 in April 2023 from 123.3 in March 2023 strengthened the domestic positive catalyst.

"The domestic positive catalysts include the realization of economic growth in the first quarter of 2023 above the forecasts and conditions of foreign exchange reserves as of the end of April 2023 which is far above international adequacy," explained research by Phintraco Sekuritas.

Meanwhile, external sentiment comes from anticipating market participants against the release of US inflation which is expected to stay at 5 percent YoY in April 2023. This condition is believed not to change the Fed's view of policy direction in the next few FOMCs.

"JCI still has the opportunity to strengthen with support at 6,735 and resistance at 6,800 on Wednesday," explained Phintraco.

According to Phintraco Sekuritas, the stocks that can be considered today include ASII, ERAA, AKRA, SMGR, INTP, TLKM, TOWR, and ANTM.