M+ Online Morning Market Buzz - 22 Jan 24

Dow Jones: 37,863.80 pts (+395.19pts, +1.05%)
⬆️ Resistance:  38700
⬇️ Support:  36400

FBM KLCI: 1,486.37 pts (+7.19pts, +0.49%)
⬆️ Resistance:  1540
⬇️ Support:  1450

HSI Index: 15,308.69 pts (-83.10pts, -0.54%)
⬆️ Resistance:  16700
⬇️ Support:  14900

Crude Palm Oil: RM3,939 (+RM44, +1.13%)
⬆️ Resistance:  4030
⬇️ Support:  3730

Brent Oil: $78.56 (-$0.54, -0.68%)
⬆️ Resistance:  81.40
⬇️ Support:  75.00

Gold: $2,029.49 (+$17.09, +0.85%)
⬆️ Resistance:  2100
⬇️ Support:  1970

Market update – 22 Jan 24
Positive Trend Remains Intact

The FBM KLCI rebounded after a 3-day pullback amid buying support in the Banking and Utilities segments. Meanwhile, the US stock markets ended stronger led by the chipmakers fuelled by optimism around the Artificial Intelligence theme; S&P 500 hit fresh record highs after 2 years. This rally was followed by TSMC commenting that the outlook is encouraging with the booming demand for high-end chips used in AI. Currently the US 10-year Treasury yield stood at 4.126%, while the probability of a rate cut is declining. On the commodity markets, the Brent oil price continues to traded sideways, ranging around US78-79/bbl, despite the ongoing tension in the Middle East. 

Sectors focus: With the strong sustaining rally in the US, we expect buying interest to build up on the local exchange within the Technology sector. Also, we expect the small cap and lower liners to see bargain hunting activities in the near term after a few rounds of limit-down situations last week. The focus will be on investment catalysts such as the revival of KL-SG HSR mega projects, rising focus on the Johor-region theme as well as easing requirements of MM2H going forward. Thus, traders should focus on the Construction, Property and Building Material segments.

Stocks to watch: 

Property: AME, SUNWAY, UEMS
Technology & Telco: INARI, MI, REDTONE
Consumer: CAB
Plantation: INNO
Finance: AMBANK, CIMB

Source: M+ Online

M+ Online Technical Trading Stocks - 22 Jan 24

Stock Name: AME (5293)
Entry: Buy above RM1.830
Target: RM1.900 (3.8%), RM1.950 (6.6%)
Stop: RM1.800 (-1.6%)
Shariah: Yes
Technical: Monitor for breakout

Stock Name: INNO (6262)
Entry: Buy above RM1.420
Target: RM1.480 (4.2%), RM1.520 (7.0%)
Stop: RM1.370 (-3.5%)
Shariah: Yes
Technical: Flag-formation breakout

Source: Bloomberg, M+ Online

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