JCI Movement On Wednesday Potentially Rebound, These Are Recommended Stocks

JAKARTA - The Composite Stock Price Index (JCI) weakened 0.65 percent or 44.86 points to 6,886.5 at the end of trading last Tuesday, August 1. So how is the JCI movement direction for today?

Phintraco Sekuritas in his research said that all sectoral indexes yesterday fell together with the JCI. The total volume of exchange transactions reached 23.45 billion shares with a transaction value of Rp11.29 trillion.

The JCI has the potential to rebound to the range of 6,930-6,950 while staying above the 6,880 pivot in Wednesday's trading. The potential rebound is supported by indications of overbought in the Stochastic RSI in the range of 6,880 pivots.

"The market participant response to the latest domestic economic data has the potential to be a positive catalyst," explained the research of Phintraco Sekuritas.

The first is the increase in Indonesia's manufacturing index to 53.3 in July 2023 from 52.5 in June 2023. The second is the continued downward trend in inflation to 3.08 percent YoY in July 2023 from 3.52 percent YoY in June 2023.

"Thus, the inflation rate is at the middle of the assumption that government inflation is at 3 percent YoY," explained the research of Phintraco Sekuritas.

From external, China's manufacturing index improvement and expectations of similar achievements in the US have the potential to strengthen market participants' optimism for the global economic outlook in the second half of 2023.

Top picks on Wednesday (2/8) include potential for further strengthening/rebound on AMRT, TLKM, CPIN, PGAS, ANTM, and INKP, as well as opportunities for buy on support on ICBP, MIKA, BIRD, and CTRA.