Jakarta, CNBC Indonesia – The Composite Stock Price Index (JCI) successfully recorded a 4-day gain in trading Tuesday after rising 0.35% to 6,598.343. In 4 days the total strengthening of the JCI was more than 1%.
The strengthening of the JCI has the opportunity to continue and record 5 consecutive days of strengthening in today’s trading, Wednesday (29/12), given the pretty good sentiment of market players. But stay alert for the possibility of profit taking (profit taking).
Good news for global financial markets comes from South Africa (South Africa). The results of a recent study show that people who are infected with Omicron, especially those who have been vaccinated, will have a stronger immune system against the Delta variant.
Reuters reported, the research was only conducted on a small group, only 33 people who had been vaccinated and had not. As a result, neutralization of Omicron virus increased 14-fold during 14 days after infection, and neutralization of variants increased 4.4-fold.
“Increased neutralization of the Delta variant in Omicron-infected individuals may decrease Delta’s ability to re-infect these individuals,” the scientists said. Reuters, Tuesday (27/12).
The results are also consistent with previous findings that Omicron replaces the Delta variant because infected individuals acquire Delta-neutralizing immunity.
The research gives hope that Omicron will be the end of the Covid-19 pandemic, especially if there is wider research that also shows the same thing.
Technically, the JCI’s strengthening yesterday was still restrained by the 50-day moving average (50/MA 50 moving average), in the range of 6,610 to 6,620, which was previously strong support.
When the MA 50 was broken and stuck below it, the JCI pressure became quite large. The JCI is now 8 days below the 50 MA. If this level is broken, the JCI has a chance to strengthen to 6,650.
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Graph: Daily JCI Foto: Refinitiv- – |
JCI has also not been separated from the pressure of the Shooting Star pattern on Monday (13/12), which made the pride of the country’s stock market plummet the day after.
This pattern previously appeared on Thursday (25/11), after which the JCI slumped for several days.
The Shooting Star pattern is a reversal signal or a reversal of the direction of the price of an asset.
The pressure for JCI is getting bigger as the Stochastic indicator has reached the overbought area (overbought) on the 1 hour chart.
 Graph: JCI 1 HourFoto: Refinitiv- – |
Stochastic is leading indicator, or indicators that initiate price movements. When Stochastic reaches the territory overbought (above 80) or oversold (below 20), then the price of an instrument has the opportunity to reverse direction.
In addition, yesterday’s movement made the JCI to form a gap (gap). Technically, the gap will usually close in the range of 6,570 which is also the nearest support. A break below that level will make the JCI decline to 6,525 to 6,500.
CNBC INDONESIA RESEARCH TEAM
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