CAIRO: The Egyptian Exchange (EGX) opened on a positive note Tuesday amid sideways performance following a two-day rally.
The market recorded a six-month high Sunday powered by Fitch Rating’s decision to upgrade Egypt’s long-term credit rating from “B-” to “B.”
The benchmark index EGX30 added 0.55 percent, registering 8,751 points, compared to 8,703 points yesterday. Also, the small and mid-cap EGX70 rose by 0.09 percent, recording 558.9 points, compared to 558 points in the last session. The broader EGX100 index went up 0.22 percent, registering 1,065 points.
Market capitalization gained around 100 million EGP ($167.87 million), totaling 486.8 billion EGP, compared to 486.7 billion EGP Monday.
“The market is witnessing a calm trading at open as its tests the sellers’ powers until the bulls show themselves along with some positive news and incentives,” Mona Moustafa, a technical analyst at the African Economic Group, told The Cairo Post.
Moustafa added that the benchmark is facing resistance at (8,730-8,830) points, while support level ranges from 8,580-8430 points.
“Medium and long-term traders are recommended to build up new buying positions on selective stocks, while short-term investors are advised to conducts some cautious trades,” she added.