Already up 4.71% in the last week, JCI is prone to correction on Tuesday (10/11)

ILLUSTRATION. The monitor screen displays the movement of the Jakarta Composite Index (JCI) on stock trading in Jakarta. BETWEEN PHOTOS / Hafidz Mubarak A / wsj.

Reporter: Kenia Intan | Editor: Herlina Kartika Dewi

KONTAN.CO.ID – JAKARTA. The Jakarta Composite Index (JCI) strengthened 0.38 percent to 5,356.01 on Monday (9/11).

Quoting data from the Indonesia Stock Exchange (IDX), the majority of sectors earlier this week were indeed green. The mining sector recorded the most significant strengthening of up to 2.38%. After that followed by the infrastructure sector up to 1.18%.

Artha Sekuritas Indonesia analyst, Dennies Christoper Jordan observed, JCI closed higher, supported by optimism after Joe Biden’s victory in the US presidential election. It is hoped that the election of Biden can promote better political and economic conditions.

However, Dennies estimates that the JCI will not strengthen in trading tomorrow, Tuesday (10/11). JCI is predicted to move lower with support levels between 5,318 and 5,280. While the resistance levels are at 5,394 to 5,432.

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“The movement is vulnerable to a correction after the last week’s increase has entered the overbought area after high optimism after Joe Biden’s victory in the presidential election in the United States,” he said in a research received by Kontan.co.id, Monday (9/11).

Just so you know that during the past week, the JCI was recorded to have strengthened by 4.71%

Meanwhile, continued Dennies, negative sentiment also came from concerns about Covid-19 in Europe which is currently spreading again. Meanwhile, from within the country, Dennies still sees minimal sentiment.

Amid JCI which is predicted to weaken, analysts suggest observing these stocks:

1. PT Astra International Tbk (ASII)

ASII is corrected and breakdown support. ASII has the potential to weaken and return to a consolidation trend. Investors are advised to sell or take profit. Meanwhile, investors can go back in at a price of Rp. 4,900 to Rp. 4,950. Stop loss 5,700. The target price is Rp. 5,900 to Rp. 6,000.

2. PT Media Nusantara Citra Tbk (MNCN)

MNCN is still moving in a bullish trend. Potentially the next resistance test. Analysts suggest that investors enter this stock at a price of Rp. 830 to Rp. 850. The stop loss is Rp. 815. The target price is at Rp. 880 to Rp. 900.

3. PT PP Tbk (PTPP)

Boosting with a sufficiently high volume shows accumulation. The stochastic indicator that forms a goldencross indicates a potential strengthening. Price target and stop loss are increased.

Meanwhile, investors can enter PTPP at a price of Rp. 910 to Rp. 930. The stop loss is Rp. 950. However, the target price for PTPP is at Rp. 1,000 to Rp. 1,020.