CAIRO: The Egyptian Exchange (EGX) shut on a positive note Monday, as the benchmark index EGX30 ended 0.62 percent higher, showing a significant rebound from a two-week plunge.
Pushed by local institutions’ purchases, the benchmark rose to 9,119 points at close, compared to 9,062 Sunday. Also, the small and mid-cap index EGX70 inched up 2.05 percent to hit 517.7 points, up from points 507 points in its last session. The broader index EGX100 added 0.96 percent as well, recording 1,044 points.
“The benchmark saw a significant rise higher as 25 of 30 index movers ended in the green area, backed by a strong buying power triggered from attractive prices,” said Adham Gamal Eldin, head of the technical analysis desk at Cairo Capital Securities.
Gamal Eldin added that the upward move is expected to continue in the upcoming few sessions to send the index towards the resistance level of 9,260 points. “If the index sustained above this level, it would extend its rally,” he said, advising traders to watch the market closely at the mentioned resistance level.
Traders are also recommended to buy on dips near support levels, and activate their stop loss tactic to avoid any possible risks, the analyst concluded.