Check out the recommendations for bluechips stocks that managed to rebound after falling

Reporter: Akhmad Suryahadi | Editor: Tendi Mahadi

KONTAN.CO.ID – JAKARTA. Big stocks that are included in the LQ45 Index started to turn green in today’s trading, after subsided to hit auto rejection down (ARB) on yesterday’s trade.

Shares of PT Semen Indonesia Tbk (SMGR) and PT Bank Mandiri Tbk (BMRI) yesterday were both corrected up to 6.93%. At the close of trading today, BMRI shares rose 1.86% to the level of Rp 5,475 while SMGR shares did not move at the level of Rp 9,400.

Shares of PT Japfa Comfeed Indonesia Tbk (JPFA) and PT Ace Hardware Indoenesia Tbk (ACES) strengthened respectively 3.76% and 5.78% after yesterday’s subsidence of up to 6.9%.

Also Read: Surprised by PSBB Jakarta, blue chip stocks had a low auto rejection (ARB)

Panin Sekuritas analyst William Hartanto assessed that investors can already buy shares of BMRI, JPFA, BBCA, and SMGR. Meanwhile, retail stocks (retailer) like ACES, William advised investors to avoid stocks in this sector first.

Because, William assessed that there is still news about the imposition of large-scale social restrictions (PSBB) which are still being reviewed (revised). Launching the news, the request for this revision came mainly from entrepreneurs.

“We recommend that you wait for certainty, if indeed (PSBB) is revised, then it can be looked at again. Because if the total PSBB continues, it will be a negative sentiment for retailers, “Said William to Kontan.co.id, Friday (11/9).

At times like this, William said investors can ignore stock valuation assessments such as price to earning ratio (PER). Since the market is currently measuring the trend, it is only natural for PER to become more expensive as long as a stock continues uptrend.

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“At least, the investors themselves can measure it with indicators such as MACD. If it forms a dead cross, there is a potential to end its strengthening,” he continued.