M+ Online Morning Market Buzz - 5Sep22

Dow Jones: 31,318.44 pts (-337.98pts, -1.07%)
⬆️ Resistance:  33000
⬇️ Support:  30600

FBM KLCI: 1,491.18 pts (-0.77pts, -0.05%)
⬆️ Resistance:  1550
⬇️ Support:  1460

HSI Index: 19,452.09 pts (-145.22pts, -0.74%)
⬆️ Resistance:  20600
⬇️ Support:  19000

Crude Palm Oil: RM3,915 (-RM79, -1.98%)
⬆️ Resistance:  4360
⬇️ Support:  3770

Brent Oil: $93.02 (+$0.66, +0.71%)
⬆️ Resistance:  107.60
⬇️ Support:  90.00

Gold: $1,712.19 (+$14.67, +0.86%)
⬆️ Resistance:  1790
⬇️ Support:  1660

M+ Online Technical Focus - 5Sep22
Alliance Bank Malaysia Bhd: Accelerating SME financing

Trading Catalyst
• Dynamic, integrated financial services group offering banking and financial services through its consumer banking, SME banking, corporate and commercial banking, Islamic banking, investment banking, and stockbroking businesses.
• Focus to double up the SME financing business which saw their market share rose from 3.4% 5 years ago, to 5.0% in FY22.
• Aims to grow their new-to-bank customer acquisition by 40% YoY in FY23 through higher contribution from digital channels and ecosystem partners.
• Technically, price has formed a resistance breakout above RM3.60 and price may trend higher to target the next resistances at RM3.75-3.82, with long term target at RM4.00.

Technical View

(i) ABMB (S: RM3.48, R: RM3.75-3.82, LT TP: RM4.00, CL: RM3.47)

S: Support, R: Resistance, LT TP: Long term target price, CL: Cut loss

Economic Releases For The Week (5/9/2022-9/9/2022):

5/9/2022
JP - Japan's Jibun Bank Services PMI, 8.30AM
JP - Japan's Jibun Bank Composite PMI, 8.30AM
CN - China's Caixin Services PMI, 9.45AM
CN - China's Caixin Composite PMI, 9.45AM
EU - Eurozone's S&P Global Services PMI, 4.00PM
EU - Eurozone's S&P Global Composite PMI, 4.00PM
UK - United Kingdom's S&P Global Services PMI, 4.00PM
UK - United Kingdom's S&P Global Composite PMI, 4.00PM
EU - Eurozone's Retail Sales, 5.00PM

6/9/2022
US - United States' S&P Global Services PMI, 9.45PM
US - United States' S&P Global Composite PMI, 9.45PM
US - United States' ISM Non-Manufacturing PMI, 10.00PM

7/9/2022
EU - Eurozone's 2Q22 GDP Growth Rate (3rd Est), 5.00PM

8/9/2022
JP - Japan's 2Q22 GDP Growth Rate, 7.50AM
MY - Malaysia's Bank Negara's Interest Rate Decision, 3.00PM
EU - Eurozone's European Central Bank's Interest Rate Decision, 8.15PM

9/9/2022
CN - China's Inflation Rate, 9.30AM
CN - China's Producer Price Index, 9.30AM
MY - Malaysia's Industrial Production, 12.00PM
MY - Malaysia's Unemployment Rate, 12.00PM

Market update: The FBM KLCI ended marginally lower on Friday amid mixed regional markets. The local bourse could remain wobbly over the near term as market selloff intensified on Wall Street, while the crude oil price remained under pressure. Meanwhile, investors may keep an eye on the European Central Bank’s and BNM’s interest rate decisions which will be releasing this week. Commodities wise, both the crude oil and crude palm oil were traded below the USD100 and RM4,000 levels, respectively. 

Sector focus: The technology sector might see further selling pressure amid persistent downtrend move on Wall Street Nasdaq. Meanwhile, the energy sector may swing lower given the crude oil price remained below USD100. Overall, investors may turn their focus to banking sector ahead of the BNM’s interest rate decision, as well as consumer sector, utilities, telco and REIT which can provide stability in current market rout.

Stocks to watch: 

Consumer: ABLEGLOB, BJFOOD, FIAMMA, PADINI, PWROOT, UCHITEC
Building material: AJIYA, CHINWEL, PMBTECH
Medical-related: OPTIMAX, SCOMNET, UMC
Telco & Utilities: GASMSIA, TM, YTLPOWR
Furniture-related: SERNKOU, SIGN 
Technology: CTOS, DSONIC, FPGROUP, SCICOM
Others: ABMB, HARBOUR, MAHSING, MBMR, PANTECH, PPHB 

Source: M+ Online

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