EGX ends up amid expectation of sideways movement
Egyptian Exchange - AFP/Marco Longari

CAIRO: The Egyptian Exchange indexes ended up Wednesday, boosted by positive performance of blue chips topped by Hermes and Talaat Moustafa, while CIB and Global Telecom kept the benchmark index EGX30 moving in sideways.

Market capitalization gained more than 1.1 billion EGP ($2 million,) reaching 475.9 billion EGP, compared to 474.8 billion EGP on Tuesday.

The benchmark index EGX30 rose 0.67 percent to hit 8,080 points, compared to 8,026 points on Tuesday. The small and mid-cap index EGX70 went up 0.47 percent at 600 points, and the broader EGX100 index also gained 0.44 percent to reach 1,054 points.

Head of technical analysis at Osool ESB for Securities Brokerage Ehab el-Saeed attributed EGX30’s failure to penetrate the resistance level of 8,100 points to sideways movements by the leading shares of CIB and Global Telecom.

Saeed told The Cairo Post that the market is expected to move in sideways Thursday, ruling out a possible record tomorrow. However, the analyst expects EGX30 to shoot above 8,100 points.

“EGX would witness a bullish wave if EGX30 managed to penetrate and stand above the new resistance level at 8,100 points,” Pioneers Securities’ Technical Analysis Advisor Hossam Helmy told The Cairo Post.

“EGX30 was able to move strongly upward accompanied by an increased turnover,” head of technical analysis at Roots Stock Brokerage Sameh Gharib told Mubasher business website. He expected the benchmark index to keep rising up to reach a resistance level at 8,350 points.

Egyptians and foreigners’ net purchases registered 7.1 million EGP and 27.5 million EGP respectively Wednesday, while Arabs’ net sell-offs reached 34.6 million EGP.

On Tuesday, the EGX boosted by the positive performance of blue chips topped by Talaat Moustafa and Global Telecom gained more than 5 billion EGP, with the benchmark index EGX30 jumping 1.79 percent to close at 8,026 points, compared to 7,886 points on Monday.

The small and mid-cap index EGX70 went up 1.1 percent at 598 points, and the broader EGX100 index also gained 1.08 percent to end at 1,049 points.

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