JCI Indication

Bullish (Moderate)

Support / Resistance: 6,178– 6,298

Market Drivers:

South Korea’s economy

- Grew at a slower pace of 0.4% Q/Q (2.0% Y/Y), slightly missing market expectations (0.5% Q/Q) and down from a 1.0% Q/Q in 2Q19

- Exports showed signs of recovery

- Rose 4.1% after a 2.0% gain in 2Q19

- Private consumption rose 0.1% Q/Q, down from a 0.7% Q/Q rise in 2Q19

- Construction spending tumbled 5.2%

- Government spending increased 1.2%

Japan

- Flash Manufacturing PMI (October)

  - Came at 48.5, down from 48.9 in September, shrank at its fastest pace in more than three years

- Flash services PMI (October)

  - Produced a reading of 50.3, down from 52.8 in September’s reading.

------------------------------------------------

MARKET NEWS

PT Karakatau Steel Tbk

KRAS will develop the Cilegon steel cluster to develop production capacity of up to 17 metric tons per year to secure the domestic steel industry. In 2025, the Cilegon steel cluster capacity is targeted to reach 10 metric tons per year.

PT Intraco Penta Tbk

INTA 9m19 recorded sales of heavy equipment totaling 495 units (-31.44% yoy).  33.5% of total sales still came from the mining sector. This decline is due to the sluggish coal mining sector.

PT Tower Bersama Infrastructure Tbk

TBIG will pay off the maturing bonds on October 28 with a principal value of Rp. 628 billion and a fixed interest rate of 8.5% per year and will use the company's internal cash. This year TBIG is targeting to increase the number of tenants to 3,000 units, consisting of 1,000 towers and 2,000 collocations. Until the first semester of this year, TBIG has realized 1,200 tenants.

PT Bank Negara Indonesia (Persero) Tbk

BBNI 3Q19 recorded a credit growth of 14.7% to IDR 558.7 tn, lending was supported by a growth in third party funds of 5.9%.

Technical Recommendations :

Stock: *MEDC*

Short Term Trend: Sideways

Medium Term Trend: Bearish

Trade Buy : 665

Target Price 1: 690

Target Price 2: 720

Stop Loss: 635

Stock: *PWON*

Short Term Trend: Sideways

Medium Term Trend: Bearish

Trade Buy : 615

Target Price 1: 645

Target Price 2: 670

Stop Loss: 595

Stock: *TINS*

Short Term Trend: Sideways

Medium Term Trend: Bearish

Spec Buy : 935

Target Price 1: 995

Target Price 2: 1,040

Stop Loss: 895