CAIRO: The Egyptian Exchange (EGX) rallied amid high liquidity Tuesday, boosted by positive performance of leading stocks topped by the market bellwether CIB.
The benchmark index EGX30 rose 0.94 percent to hit 8,589 points, up from 8,405 points Monday. The small and mid-cap index EGX70 added 0.57 percent to hit 611 points and the broader index EGX 100 also went up 0.66 percent to reach 1,084 points.
Market capitalization gained around 3.1 billion EGP ($433.5million), registering 492.1 billion EGP, higher than 489 billion EGP Sunday. Total trade value amounted to 435.9 million EGP.
Head of the Technical Analysis Desk at Naeem Brokerage, Ibrahim El-Nemr, told The Cairo Post the benchmark retreated from its resistance level of 5,545 points. “This may drag it to the support range of 8,235 points to 8,250 points,” he added.
“A bounce from 8,250 may send it higher towards 8,500 once again. On the other hand a breach above 8,545 may send it higher towards 8,800 points,” Nemr said, advising investors to buy near supports, with stop-loss limit set at 8,035.
Meanwhile, EGX 70 failed to reach its major support level of 555 points and breached above 600 points, indicating that the bulls are gathering more power, Nemr added: “This power may send it higher towards 630 as a next target.”
On Monday, EGX witnessed collective rebound, and EGX30 rose 1.28 percent to hit 8,508 points, getting support from the positive performance rise of blue chips and purchases from local and foreign institutions.