M+ Online Morning Market Buzz - 22Sep23

Dow Jones: 34,070.42 pts (-370.46pts, -1.08%)
⬆️ Resistance:  35700
⬇️ Support:  33400

FBM KLCI: 1,448.21 pts (-3.35pts, -0.23%)
⬆️ Resistance:  1490
⬇️ Support:  1420

HSI Index: 17,655.41 pts (-230.19pts, -1.29%)
⬆️ Resistance:  18800
⬇️ Support:  17300

Crude Palm Oil: RM3,686 (+RM8, +0.22%)
⬆️ Resistance:  3890
⬇️ Support:  3570

Brent Oil: $93.30 (-$0.23, -0.25%)
⬆️ Resistance:  97.90
⬇️ Support:  90.40

Gold: $1,920.02 (-$10.28, -0.53%)
⬆️ Resistance:  1990
⬇️ Support:  1880

Market update – 22Sep23 

The FBM KLCI traded in the negative region at the end of the session in tandem with the regional benchmark performances. Also, Wall Street has dropped significantly with the Fed’s tone turning more hawkish in the recent FOMC meeting. Besides, investors were concerned that a government shutdown may provide downside risk to the 4Q US GDP. Hence, with the sentiment turning negative, it is likely to spillover towards stocks on the local front. However, we opine that the domestic catalysts such as the NETR and NIMP, coupled with the upcoming Budget 2024 will provide buying support within a certain sector at least for the near term. Commodities wise, the Brent crude oil has continued retraced from the recent high and traded around the USD93/bbl level, while the CPO prices extended its pullback formation below the RM3,700/MT level.

Sector focus: Given the negative sentiment on Wall Street, we expect the broad market to be impacted. Meanwhile, we still favour the Property and Construction sector amid the potential revival of the KL-SG HSR. Moreover, we believe investors may position within the industrial products, renewable energy as well as building materials that may be related to NETR and NIMP blueprints.

Stocks to watch:
Property: OSK, SIMEPROP, SUNSURIA
Building material: HUMEIND, MCEMENT
Consumer: CCK, TEOSENG
O&G: DELEUM
Others: SPTOTO, UNISEM

Source: M+ Online

M+ Online Technical Trading Stocks - 22Sep23

Stock Name: SUNSURIA (3743)
Entry: Buy above RM0.600
Target: RM0.665 (10.8%), RM0.690 (15.0%)
Stop: RM0.570 (-5.0%)
Shariah: Yes
Technical: Breakout-pullback-continuation

Stock Name: TEOSENG (7252)
Entry: Buy above RM1.080
Target: RM1.130 (4.6%), RM1.180 (9.3%)
Stop: RM1.040 (-3.7%)
Shariah: No
Technical: Consolidation breakout

Source: Bloomberg, M+ Online

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