CAIRO: The Egyptian Exchange (EGX) is likely to edge up Tuesday if the benchmark index EGX30 sustained above its resistance level of 9,580 points, Adham Gamal Eldin, head of the technical analysis desk at Cairo Capital Securities told The Cairo Post.
On Monday, the benchmark index declined to reach near to the support level of 9,400 points which is a minor support level in the first half of the session and managed to rebound at the second half, enhanced by buying power that focused on real estate and financial sectors, said Gamal.
The benchmark shut Monday on a positive note, adding 0.72 percent as 19 of 30 index movers closed in the green area, he added.
“This rebound boosted the index to close above the resistance level of 9,580 points which may push the market toward 9,800 points once again if the index succeeded to sustain above it,” Gamal said.
According to the analyst, the market faces 9,580 points as a resistance level, followed by 9,800 points. On the other hand, the level of 9,300 points acts as first support level followed by 9,150 points.
“Investors are advised to choose their stocks carefully and to enter the stocks near support levels. They also should take profits near resistance levels for short term trading purposes and activate their stop-loss tactic to avoid any risks that may occur,” Gamal recommended.