M+ Online Morning Market Buzz - 19 Jun 23 
 
Dow Jones: 34,299.12 pts (-108.94pts, -0.32%) 
⬆️ Resistance:  35300 
⬇️ Support:  32900 
 
FBM KLCI: 1,388.61 pts (+6.88pts, +0.50%) 
⬆️ Resistance:  1420 
⬇️ Support:  1350 
 
HSI Index: 20,040.37 pts (+211.45pts, +1.07%) 
⬆️ Resistance:  20600 
⬇️ Support:  18800 
 
Crude Palm Oil: RM3,743 (RM222, +6.31%) 
⬆️ Resistance:  3870 
⬇️ Support:  3210 
 
Brent Oil: $76.61 (+$0.94, +1.24%) 
⬆️ Resistance:  79.30 
⬇️ Support:  70.20 
 
Gold: $1,957.98 (-$0.03, -0.00%) 
⬆️ Resistance:  2020 
⬇️ Support:  1890 
 
M+ Online Technical Focus - 19 Jun 23 
Kelington Group Bhd: Growth prospects on track 
 
Trading Catalyst 
• Involved in four major businesses, namely; ultra-high purity (UHP) delivery systems, process engineering, general contracting and industrial gasses for various industries. 
• Second liquid carbon dioxide (LCO2) plant is expected to commence by October 2023 may drive the industrial gas segment growth. 
• As at end-1Q23, outstanding orderbook stood at RM1.83bn will provide earnings visibility over the next 12-18 months. 
• Technically, price has formed a flag-formation breakout above RM1.50, targeting the next resistances at RM1.57-1.63, with long term target at RM1.70. 
  
Technical View 
 
(i) KGB (S: RM1.43, R: RM1.57-1.63, LT TP: RM1.70, CL: RM1.42) 
 
S: Support, R: Resistance, LT TP: Long term target price, CL: Cut loss 
 
Economic Releases For The Week (19/6/2023-23/6/2023): 
 
20/06/2023 
JP - Japan's Industrial Production, 12:30PM 
 
21/06/2023 
UK - United Kingdom's Inflation Rate, 2:00PM 
 
22/06/2023 
UK - United Kingdom's Bank of England's Interest Rate Decision, 7:00PM 
US - United States' Existing Home Sales, 10:00PM 
 
23/06/2023 
JP - Japan's Inflation Rate, 7:30AM 
MY - Malaysia's Inflation Rate, 12:00PM 
UK - United Kingdom's Retail Sales, 2:00PM 
 
Source: Bloomberg, M+ Online

Market update: The FBM KLCI notched higher amid the FTSE rebalancing activities as well as optimism increased within the local and regional markets following a pause in US rate hike campaign. Whilst bargain hunting activities are likely to emerge, the local bourse may see upside to be capped for now with the investors keeping an eye on Malaysia’s inflation reading due this week. Meanwhile, we deem the decline on Wall Street as a healthy pullback following its recent gains. Commodities wise, the Brent crude oil price rose above USD76, while the CPO price jumped above RM3,600. 

Sector focus: The energy and plantation sectors may shine as commodities prices are charged higher. Besides, the technology stocks may continue to climb on the back of a positive outlook of artificial technology. The aviation and travel-related sectors may also gain traction amid normalisation of economic activities.

Stocks to watch:
Technology: GREATEC, KGB, KRONO, SYSTECH
Oil & Gas: WASCO, T7GLOBAL, PENERGY
Building Materials: CHINHIN, MCEMENT, HUMEIND
Tourism-related: OWG, AIRPORT
Others: TAANN, ECOWLD, UNITRAD, SLVEST, TEOSENG

Source: M+ Online

Disclaimer

The content published is solely for information and personal use only. It should not be construed to be, any advice, recommendation, offer or invitation to buy or sell any securities, futures contracts or any other instrument. Readers should seek independent advice from their own professional advisers (including legal, tax, financial and accounting) as to the risks and merits before entering into any transaction pursuant to or in reliance on any information here.

The content published above shall only be for your sole and personal non-professional use. No guarantee is given on the accuracy or completeness of the information published here. No warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person or group of persons acting on such information.