DISCLAIMER

This research report is prepared by PT MINNA PADI INVESTAMA Tbk for information purposes only and are not to be used or considered as an offer or the solicitation of an offer to sell or to buy or subscribe for securities or other financial instruments. The report has been prepared without regard to individual financial circumstance, need or objective of person to receive it. The securities discussed in this report may not be suitable for all investors. The appropriateness of any particular investment or strategy whether opined on or referred to in this report or otherwise will depend on an investor’s individual circumstance and objective and should be independently evaluated and confirmed by such investor, and, if appropriate, with his professional advisers independently before adoption or implementation (either as is or varied).

Senin, 20 Januari 2014

Morning Dew - 21 January 2014

A Good Start

Stocks kick-started the week on a right footing as the JCI gained 0.44%. 
China’s economic data were mostly neutral as they were not far off from the consensus numbers. 

Agriculture (+2.63%) and infrastructure (-2.32%) sectors were the top gainers, while miscellaneous industries lagged (-0.95%). 

IDR ended slightly higher at 12,110 per US$.

China Growth Slowed

China’s 4Q GDP slowed to 7.7% (YoY) from 7.8%, while QoQ GDP also slowed to 1.8% from 2.2%. Initially, the consensus forecast GDP at 7.6% (YoY) and 2.0% (QoQ).

Industrial production also slowed from 10% to 9.7% (YoY) in December, but retail sales managed to stay strong at 13.6% in December (YoY) compared to 13.7% pace seen in November.

Technically Speaking...

JCI started the week inching higher to end at 4,436. The index recently had hit the high at 4,459 and bumped into the 200-day EMA. 

Both RSI and stochastics indicators remained around the overbought area, whilst MACD held its position above the zero line. 

Near-term, resistance lies at 4,459, while next resistance area lies around 4,600-4,610. Fibonacci projection targets 4,700, however. On the downside, support lies at 4,400 and subsequently, 4,327 - a prior resistance now turned into support. Below 4,327 we also have support at 4,175 and 4,109.

PGAS reached its target price at 4,600. The recommendation is now closed after it gained 7.23%.

Day Ahead

The upside potential remains intact for now. The index is expected to knock on the 4,600-4,610 resistance area where its bullish commitment will be tested. Should it pass, 4,700 awaits. Below 4,400 may drive the index approaching the lower 4,300 support area.

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