CAIRO: The Egyptian Exchange (EGX) indexes rallied during Monday’s mid-session and market capitalization gained 4.7 billion EGP backed by investor upbeat sentiment about the inauguration of President Abdel Fatah al-Sisi.
The benchmark index EGX30 rose 1.4 percent to reach 8,616 points up from Thursday’s close at 8,498 points. The small and mid-cap index EGX70 went up 1.1 percent to hit 605 points and the broader index EGX100 added 1.07 percent to reach 1,059 points.
Market capitalization added 4.7 billion EGP to record 491.2 billion EGP, compared to 486.5 billion EGP Thursday. Turnover surged to 1.3 billion EGP.
Head of Technical Analysis Desk at Naeem Brokerage Ibrahim EL-Nemr said the benchmark managed to breach above the “previous resistance” level of 8,250 points amid high volume.
“This could lead EGX30 to advance towards the resistance level of 8,825 once again,” Nemr told The Cairo Post, advising investors to “hold” their stock.
Ehab Saeed, head of technical analysis at Osool ESB Brokerage, said he expects the benchmark could resume the rally and re-test its previous peak at 8,800 points upon crossing the 8,550-8,600 area.
EGX indexes soared on Thursday and market capitalization gained more than 16 billion EGP, boosted by a takeover offer by Beltone Financial along with a group of investors to buy a 20 percent stake in EFG-Hermes.
The market was also powered by Saudi King Abdullah bin Abdulaziz Al Saud call for a donor conference to help boost the Egyptian economy, in addition to the blue chip Global Telecom positive financial results.