Expert: EGX Unlikely Affected By US Embassy Tensions
Capital market experts have ruled out the possibility that the tensions on the US embassy in Cairo will reversely affect the Egyptian Exchange (EGX)’s performance today (Wednesday).
The experts added that the succession of the political tensions since the outbreak of 25th January Revolution have made investors and shareholders more experienced and adapted while dealing with such incidents.
Dr. Mohamed Omran, the EGX Chairman, forecasted that the US embassy tensions will have a very limited impact on Wednesday’s trading stressing that the investors see such incidents as having a short-term impact only.
Ahmed Fahim, Head of Technical Analysis at Al-Shorouk Brokerage Co., said the EGX indices witness nowadays upwards boosted by the buying activities.
He also added that the US embassy incidents would not have a great influence on the EGX trading.
Fahim forecasted that EGX indices will witness within the coming period profit-taking transactions due to the bourse’s recent remarkable upwards. He also expected that benchmark EGX30 will hit 5473 pts.
For EGX70, Fahim hoped that the index would not witness a severe correction amid the expected profit-taking transactions.
Mohamed Abd Aal, technical analyst at Al Noran Securities Brokerage, has agreed with Fahim saying that the incidents would not have much effect on the EGX trading.
“Slight downwards are likely to happen within the coming week sessions, yet they would be due to investors’ profit-taking transactions.”
