CAIRO: The Egyptian Exchange (EGX) ended on a negative note Monday, hurt by selling pressures led by local institutions.
The benchmark index EGX 30 fell by 0.97 percent to hit 9,403 points, compared to 9,493 points Sunday. The small and mid-cap index EGX70 lost 0.34 percent, registering 657.8 points, down from 660 points in the last session and the broader index EGX100 also declined 0.84 percent to reach 1,168 points.
Market capitalization shed around 2.4 billion EGP ($335.6 million), reaching 521.4 billion EGP, and down from 523.8 billion EGP last session.
“The benchmark index was hammered by selling powers amid a normal corrective wave for the uptrend,” Noha Raheel, head of technical analysis at Capital Securities Brokerage, told The Cairo Post.
Raheel attributed the decline to the negative performance of most of the real estate stocks, which grew by 100 percent during the last four months, approaching price levels not previously seen since 2008.
African Economic Group technical analyst Mona Mostafa had predicted that indexes along with stocks would move sideways Monday, citing the mixed performance of stocks.
The benchmark index had a resistance level at 9,500 points, then 9,720 points and a support level at 9,395 points, then 9,310 points. The EGX70 had a resistance level at 667 points, then 676 points, and a support level at 658 points, then 632 points, the analyst told The Cairo Post.
She advised investors to monitor their stocks over the next few days and move to defensive shares.