Bursa Malaysia Seen Trading Range Bound With Upside Bias Next Week

By Zarul Effendi Razali and Danni Haizal Danial Donald

KUALA LUMPUR, July 5 (Bernama) -- Bursa Malaysia is expected to trade in cautious mode next week, but with an upside bias, with the US tariff deal deadline on July 9 in focus, analysts said.  

Rakuten Trade Sdn Bhd equity research vice-president Thong Pak Leng anticipates the FTSE Bursa Malaysia KLCI (FBM KLCI) to trend within the range of 1,530-1,560 points, representing its support and resistance levels.

“The benchmark index has broken out of its consolidation range with strong volume, climbing above critical moving averages. A bullish exponential moving average crossover and strengthening moving average convergence/divergence indicator, along with a relative strength index that has yet to peak, strengthen the case for a shift toward a more bullish trend,” he told Bernama.

Echoing Thong, UOB Kay Hian Wealth Advisors Sdn Bhd’s head of investment research, Mohd Sedek Jantan, said the local bourse is expected to experience heightened caution and intermittent volatility ahead, as investors closely monitor the evolving landscape of global trade policy.

“Particular attention is centred on the ‘Liberation Day’ US tariff deadline of July 9, when elevated tariffs -ranging from 20 to 30 per cent- are expected to be reinstated on countries without formalised bilateral trade deals.

“Malaysia, among others, may face renewed uncertainty should negotiations remain unresolved. US President Donald Trump has indicated that official notifications outlining new tariff rates will be issued imminently to affected trade partners,” he said.

On a weekly basis, the barometer index advanced 22.03 points to 1,550.19 from 1,528.16 in the preceding week. The FBM Emas Index expanded 218.92  points to 11,617.72, the FBMT 100 Index rose 209.34 points to 11,390.70, and the FBM Emas Shariah Index garnered 276.69 points to 11,617.82. 

The FBM 70 Index climbed 516.38 points to 16,787.04, and the FBM ACE Index rose 51.64 points to 4,526.40.

Across sectors, the Financial Services Index went up 54.12 points to 17,791.22, the Plantation Index surged 119.72 points to 7,448.74, and the Energy Index gained 8.93 points to 741.61.

Turnover for the shortened trading week increased to 17.25 billion units worth RM12.62 billion from 11.68 billion units worth RM8.45 billion in the preceding week.

The Main Market volume advanced to 9.22 billion units valued at RM11.41 billion against 5.40 billion units valued at RM7.39 billion previously.

Warrant turnover improved to 6.62 billion units worth RM772.30 million versus 4.96 billion units worth RM655.61 million a week ago.

The ACE Market volume ticked up to 1.40 billion units valued at RM437.52 million compared with 1.07 billion units valued at RM399.48 million a week earlier.

-- BERNAMA