BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI staged a mild recovery as the key index sought to stabilise following a recent pullback, buoyed by positive trade developments between the US with both the Philippines and Japan.
Broad-based buying interest were noticed in more than two-thirds of the index components that enabled the benchmark higher to close at a whisker away from the 1,530 level on Wednesday.
The broader market also improved with lower liners edging modestly higher. As investor sentiment turned more optimistic, trading volume rose to 3.3 billion shares, up from 2.8 billion in the previous session, thus reflecting a return of bargain hunting activity.
We anticipate further gains ahead, following Prime Minister Datuk Seri Anwar Ibrahim’s special announcement which introduced several measures aimed at sustaining domestic spending and addressing the high cost of living.
On the global front, market attention will turn to the European Central Bank’s interest rate decision later this evening after it delivered its eighth consecutive rate cut last month.
While further upsides may present, we maintain a cautious view that further gains could be capped pending clearer developments on tariff-related matters.
Technically, the FBM KLCI may attempt to build on the previous session’s gains and upon a breakthrough above the 1,530 level, the next resistances are located at the 1,535-1,540 range. On the downside, key support levels are set at 1,520 and 1,511 points respectively.
Malacca Securities Research
In light of PM Anwar’s announcement on lowering the RON95 retail price to RM1.99/litre effective end-September coupled with the RM100 cash handout, we expect positive sentiment to persist on the local bourse today.
The cash assistance is also expected to benefit the consumer sector with counters like Eco-Shop Marketing Bhd and 99 Speed Mart Retail Holdings Bhd experiencing breakouts following the announcement.
We continue to favour the construction and utilities sectors amid the on-going data centre boom as well as REITs given Bank Negara Malaysia’s (BNM) OPR (overnight policy rate) reduction and their defensive nature.
Lastly, traders may look for trading opportunities in counters such as Agmo Holdings Bhd, MI Technovation Bhd, Southern Score Builders Bhd and Malayan Flour Mills BHD which have all broken above their MA200.
The local bourse rebounded and closed above the MA (moving average) lines with technical indicators showing mixed signals. The MACD histogram is still trading at its negative territory while RSI has crossed above the 50 level.
Resistance is anticipated around 1,544-1,549 while support is located at 1,509-1,514. – July 24, 2025
