EGX opens up amid sideways trading
The Egyptian stock exchange - AFP/Khaled Desouki

CAIRO: The Egyptian Exchange (EGX) extended its winning spree amid sideways performance at the open of Monday’s session, boosted by purchases by Arab and foreign investors.

The benchmark index EGX30 rose by 0.64 percent, registering 9,366 points and up from 9,306 points Sunday. The small and mid-cap index EGX70 also added 0.41 percent, reaching 620 points compared to 617.9 points in the last session, and the broader index EGX100 also increased 0.43 percent to register 1,131 points.

Market capitalization gained around 800 million EGP ($111.8 million), totaling 505.3 billion EGP compared to 504.5 billion EGP Sunday.

During early trading, 38 stocks went up, 33 declined and 22 remained stagnant.

“The EGX indices fluctuated between the red and green during Monday’s early trading in an attempt to sustain their positions at the resistance levels,” Mona Moustafa, technical analyst at the African Economic Group, told The Cairo Post Monday.

Meanwhile, the analyst predicted that selling pressures will increase gradually, weighing on the stock performance during the rest of the session to end on a slight decline amid a continued slide in turnover and the start of a new selling wave.

Moustafa said the benchmark has a resistance level between 9,340-9,430 points, and a support at 9,050 points followed by 8,800 points.

“Traders are advised to monitor the stock performance and trading volumes carefully. They also should selectively buy strong stocks,” the analyst concluded.

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