CAIRO: The Egyptian Exchange (EGX) extended its negative performance during Tuesday’s early and mid-session trading, hurt by selling pressures after the market hit a 6-year high.
The EGX30 fell by 0.66 percent to hit 9,639points, compared to 9,703 points Monday. The small and mid-cap index EGX70 dropped 1.23 percent, registering 643 points, down from 651 points last session and the broader index EGX100 also decreased by 0.82 percent to reach 1,161 points.
Market capitalization shed around 1.7 billion EGP ($237.67 million,) amounting to 526.5 billion EGP, compared to 528.2 billion EGP in its last session.
Mona Moustafa, technical analyst at the African Economic Group, predicted the EGX would extend its downward sideways movement in an attempt of the containing the selling spree.
“The indexes will test their support level in anticipation of the emergence of purchasing powers that may put an end to the profit taking activities,” Moustafa told The Cairo Post.
Moustafa advised medium-term traders to hold their new positions while short-term investors were recommended to conduct some trades while monitoring bank, telecom, basic resources, ginning and steel stocks.