KUALA LUMPUR: Mild profit taking continued early Tuesday on recent gainers like Genting Bhd and Public Bank but Perdana Petroleum tumbled for the second day when it resumed trading.
At 9.20am, the KLCI was down 8.31 points or 0.47% to 1,743.33. Turnover was 293.34 million shares valued at RM123.35mil. There were 167 gainers, 162 losers and 255 counters unchanged.
The ringgit edged up 0.12% against the US dollar to 4.075 from the previous close of 4.08.
Asian stocks advanced on Tuesday after a record-setting session on Wall Street on bets that US lawmakers would pass a major tax overhaul, while the US dollar sagged as traders were less sanguine about the bill’s economic impact, Reuters reported.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.2%. Australian shares added 0.4%, South Korea’s Kospi climbed 0.6% and Japan’s Nikkei gained 0.2%.
Kenanga Investment Bank Research said from a charting perspective, it believes that the KLCI had bottomed out from a three-month downward trend and it is positive that this could be the start of a bullish trend.
“Key indicators are all showing a bullish convergence. We deemed the downward movement over the past two trading days as a temporary pause from a potential upward trend,” it said.
The research house expects this temporary pause to continue in the near-term with the index ranging between 1,750 (S1) and 1,765 (R1) before a breakout from R1 that will push it towards 1,800 (R2).
Any break below the S1 support level is deemed as highly negative and could cause a capitulation towards 1,729 (S2).
Perdana Petroleum fell 20 sen to 46 sen in rising volume with 7.49 million shares after hitting limit-down on Monday.
Genting Bhd lost nine sen to RM8.99 while Maxis and Public Bank were down six sen each to RM5.88 and RM20.64 and Axiata five sen lower at RM5.30.
Sarawak Oil Palm, UMW and MPI each fell eight sen to RM3.92, RM5.02 and RM12.22 respectively.
Refiner Henyuan was the top gainer, up 56 sen to RM14.44. Its call warrants also surged in early trade.
Petronas Dagangan added 24 sen to RM24.66.
Glove makers climbed, led by Hartalega, up 24 sen to RM10.28 and Top Glove nine sen to RM7.03.