Market Prediction

Yesterday's trading, JCI closed up 0.34% to 6,598.34. Foreign market players recorded a net sell of IDR 535.41 billion (all markets).

Wall Street's main indexes closed mixed (DJI +0.26%, GSPC -0.10%, IXIC -0.56%) as markets took a breather from a sharp recovery rally, while investors continued to assess the threat of the omicron variant.

Today's market is expected to move higher, supported by bluechips stocks in banking & mining sectors, which were net foreign buys yesterday.

JCI closed higher with a bullish candle. The stochastic indicator is bullish, MACD histogram is moving in a positive direction (sloping line) and volume is increasing. If JCI moves bullish and breaks up to 6,515, there is a chance to strengthen to the resistance at the range of 6,632 - 6,647. If JCI moves to a bearish candle and goes down to below level 6,586, it can go down first to support at the range of 6,562 – 6,575.

Commodities Review

• Oil prices settled higher Tuesday, with Brent crude ending the session near $76 a barrel despite the rapid spread of the Omicron coronavirus variant. The strengthening of oil prices was supported by supply cuts and expectations that the United States (US) inventories fell last week.

Macro Economic News

• The Composite Consumer Sentiment Index (CCSI) in South Korea decreased by 3.7 points to 103.9 in December of 2021, easing from a 5-month high of 107.9 in the previous period.
• Japan’s unemployment rate rose to 2.8% in November 2021, compared with 2.7% in October and higher than a consensus forecast of 2.7%.
• Industrial production in Japan jumped to a record high 7.2% MoM in November 2021, beating market estimates for a 4.8% growth as production in the auto sector benefited from a global parts supply recovery, lifting prospects for a strong fourth quarter economic rebound.

Corporate news

• PT Protech Mitra Perkasa (OASA) next year will set a revenue growth of 30 percent. As of September 2021, revenue shot up 197.16% to IDR 3.33 billion from the same period the previous year of IDR 1.12 billion.
• PT Limas Indonesia Makmur Tbk (LMAS) predicts it can book a net profit of IDR 2 billion to IDR 2.5 billion in 2022. This is supported by revenue growth of 10 percent to IDR 55 billion to IDR 60 billion.
• PT Phapros Tbk (PEHA) managed to record net sales of IDR 767.17 billion in the first nine months of 2021. This figure increased by around 9.5% when compared to the same period in the previous year.

PT Kiwoom Sekuritas Indonesia (KSI)

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