CAIRO: The Egyptian Exchange (EGX) showed a mixed performance at open of Wednesday’s session, as the main index extended its losing streak battered by the shut of some foreign embassies over security concerns.
At Wednesday’s open, the benchmark index EGX30 fell by 0.08 percent, registering 9,475 points compared to 9,482 points Tuesday. In turn, the small and mid-cap EGX70 went up 0.12 percent, recording 630.3 points compared to 629 points in the last session. Also, the broader index EGX100 rose by 0.44 percent to register 1,158 points.
Market capitalization lost around 100 million EGP, totaling 518.8 billion EGP compared to 518.9 billion EGP yesterday.
“The market is likely to continue the profit taking wave with a lower decline today. The dip will not harm the stocks, but for those which soared recently,” Mona Moustafa, a technical analyst at the African Economic Group, told The Cairo Post.
Moustafa added that the stocks will re-test their support levels where the bulls could dominate the market and restrain the plunge.
“Traders are recommended to conduct some trades on small caps, and save cash liquidity for catching buy signal at possible dips,” she concluded.
On Sunday, the U.K and Canada both closed their enbassies in Cairo over unspecified security concerns, while the Australian Foreign Ministry warned its citizens Dec. 06 of “possible terror attacks.”
The market dipped yesterday as the benchmark index dropped 1 percent, and market capitalization shed around 7 billion EGP.