M+ Morning Market Buzz - 4 Jul 24

Dow Jones: 39,308.00 pts (-23.85pts, -0.06%)
⬆️ Resistance:  40300
⬇️ Support:  38200

FBM KLCI: 1,615.32 pts (+17.36pts, +1.09%)
⬆️ Resistance:  1650
⬇️ Support:  1550

HSI Index: 17,978.57 pts (+209.43pts, +1.18%)
⬆️ Resistance:  18400
⬇️ Support:  17300

Crude Palm Oil: RM4,082 (+RM15, +0.37%)
⬆️ Resistance:  4190
⬇️ Support:  3790

Brent Oil: $87.34 (+$1.10, +1.28%)
⬆️ Resistance:  89.30
⬇️ Support:  83.20

Gold: $2,356.20 (+$0.44, +0.02%)
⬆️ Resistance:  2420
⬇️ Support:  2260

M+ Market update – 4 Jul 24
Bullish Tone On Bursa Exchange Could Prevail

The FBM KLCI charged higher after a decent consolidation below 1600 last week, while the FBM70 marched towards a 52-week high led by the construction sector. Over in the US, led by the Technology heavyweights, both the S&P500 and Nasdaq ended at all-time high zone as private-sector employment came in below expectation and the market could be pricing in earlier rate cuts by the Fed this year. Meanwhile, the FOMC meeting minutes still provide the same narrative on inflation direction and data dependent monetary policies going forward. On the commodity markets, Brent oil traded above USD87/bbl, while the gold price gained momentum above uUSD2350, pricing in softer dollar. The CPO rose nearer to RM4100.

Sectors focus: Given the US Tech giants are regaining traction, we believe the buying interest may spillover towards our local Technology stocks. Data center growth and the potential KL-SG high-speed rail announcement will be fuelling investor interest in the Construction, Property, Building Materials, and Renewable Energy sectors. In view of a weaker USD environment, traders may take the opportunity to look at commodities sector such as O&G, Gold and Plantation as their underlying prices have trended higher overnight. 

Stocks to watch: 

Technology: *AGMO*, FRONTKN, ITMAX
Shipping: M&G, *SYGROUP*
Solar: *PEKAT*
Packaging: *DSS*
Construction: *JETSON*
Plantation: THPLANT
Consumer: PTRB

Source: M+

M+ Technical Trading Stocks - 4 Jul 24

Stock Name: DSS (0269)
Entry: Buy above RM0.425
Target: RM0.450 (5.9%), RM0.475 (11.8%)
Stop: RM0.415 (-2.4%)
Shariah: Yes
Technical: Flag-formation breakout

Stock Name: AGMO (0258)
Entry: Buy above RM0.735
Target: RM0.760 (3.4%), RM0.785 (6.8%)
Stop: RM0.725 (-1.4%)
Shariah: Yes
Technical: Breakout-pullback-continuation

Source: Bloomberg, M+

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