Egypt’s bourse to test 16,000 points after Eid Al-Adha holiday

The Egyptian Exchange (EGX) is likely to touch 16,000 points following the Eid Al-Adha holiday, analysts told Mubasher.

Rising above 16,000 points will pave the way for the benchmark EGX30 index to hover around 17,000 points, investment manager at Royal brokerage Hesham Hassan said.

The EGX30 has main support at 15,125 points, while it has resistance at 16,475 points, Hassan indicated.

Meanwhile, the performance of the small- and mid-cap EGX70 index is improving to move upwardly towards 760 points, he added, noting that the index is hovering between 730 and 750 points.

The investment manager recommended investors in the EGX not to depend on the indices only in the meantime and to monitor stocks carefully and hold onto their stocks that were not impacted by the recent declines.

He also suggested that investors replace stock losers with gainers in case of rebounding.

For his part, Michael Mamdouh Naguib, head of client relations at Arabeya Online, said that the EGX have seen low trading over the past period amid the absence of liquidity and catalysts.

The EGX could not experience any investment in the medium-term, Naguib highlighted, adding that the EGX30 may see rebounds in the short-term.

Sunday’s and Monday’s trading sessions will reveal the EGX’s trend for the coming period, he noted.

Naguib projected that the EGX30 will break 16,000 points to hover around the levels between 16,400 and 17,000 points.