M+ Online Morning Market Buzz - 18 Mar 24

Dow Jones: 38,714.77 pts (-190.89pts, -0.49%)
⬆️ Resistance:  40000
⬇️ Support:  37800

FBM KLCI: 1,552.83 pts (+9.08pts, +0.59%)
⬆️ Resistance:  1590
⬇️ Support:  1510

HSI Index: 16,720.89 pts (-240.77pts, -1.42%)
⬆️ Resistance:  17600
⬇️ Support:  16100

Crude Palm Oil: RM4,220 (-RM10, -0.24%)
⬆️ Resistance:  4420
⬇️ Support:  3970

Brent Oil: $85.34 (-$0.08, -0.09%)
⬆️ Resistance:  87.50
⬇️ Support:  79.50

Gold: $2,155.90 (-$6.29, -0.29%)
⬆️ Resistance:  2240
⬇️ Support:  2110

Market update – 18 Mar 24
Commodities Related Sector To Trend Firmer

The FBM KLCI ended significantly higher for Friday led by a spike in most of the heavyweights; TM rose 8.51% for the session. Meanwhile, 3 of the major indices in the US closed lower on Triple Witching Day; Technology sector led the decline. This week, we believe the overall market conditions may turn cautious ahead of the Fed’s FOMC meeting. Also, traders could be monitoring some upcoming data such as (i) unemployment claims, and (ii) Flash Manufacturing and Services PMI. Despite the softer trading tone in the US, we expect the momentum to sustain on the local front, in view of the positive rebound in the regional markets lately. On the commodity markets, Brent oil trended firmer last week above the USD85/bbl level fuelled by stronger-than-expected US demand.
 
Sectors focus: With the positive commodities trend in crude oil and palm oil recently, we expect traders to focus on the O&G and Plantation sectors for the upcoming week. Also, resurfacing of the KL-SG HSR, albeit without any conclusion, could see higher trading activities within the Construction, Property, Utilities and Building Materials sectors. Besides, we like selected Technology stock as they have been gradually recovering in the recent quarterly results. 

Stocks to watch: 

Building material: CSCSTEL, SCGBHD
Technology: ATECH, FPI
Utilities: RANHILL, SAMAIDEN
Property: E&O
O&G: GASMSIA
Construction: IJM, TRC

Source: M+ Online

M+ Online Technical Trading Stocks - 18 Mar 24

Stock Name: CSCSTEL (5094)
Entry: Buy above RM1.350
Target: RM1.400 (3.7%), RM1.450 (7.4%)
Stop: RM1.310 (-3.0%)
Shariah: Yes
Technical: Consolidation breakout

Stock Name: ATECH (5302)
Entry: Buy above RM2.790
Target: RM2.900 (3.9%), RM2.950 (5.7%)
Stop: RM2.730 (-2.2%)
Shariah: Yes
Technical: Impending symmetrical triangle formation breakout

Source: Bloomberg, M+ Online

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