CAIRO: The Egyptian Exchange (EGX) rallied during Tuesday’s early and mid-session trading, backed by a strong buying spree from local and foreign institutions.
The benchmark index EGX 30 rose by 1.64 percent to hit 9,607 points, compared to 9,452 points Monday. The small and mid-cap index EGX70 increased 0.77 percent, registering 672 points, up from 666.9 points last session and the broader index EGX100 added 1.03 percent to reach 1,189 points.
Market capitalization shed around 4.8 million EGP ($671.27 million,) reaching 528.3 billion EGP, up from 523.5 billion EGP in its last session.
“The market bellwether CIB managed to breach the resistance level of 47.65 EGP, recording a new all-time high,” head of the Technical Analysis Desk at Naeem Brokerage Ibrahim El-Nemr told The Cairo Post.
A confirmed breach above 47.65 EGP may send the CIB higher towards 52.50 EGP, Nemr said. “Investors are advised to buy after a confirmed penetration of 47.65 EGP,” he added.
“EGX eventually penetrated its major short-term resistance level of 9,500 points after failing four times, boosted by aggressive buying power,” Amr el-Feky, portfolio and asset manager at Cairo Funds Management, told The Cairo Post.
After testing five times, the EGX70 has breached above its major barrier of 666 points with great momentum, Feky said, predicting that the index may reach higher level by the end of the year.
The most active stocks that led the market rally were mainly listed in EGX 30 topped by CIB, Hermes, Palm Hills and Talaat Moustafa, Feky added.