By: Mahmoud Gamal
Dubai – Mubasher: The UAE stock markets are expected to see more foreign buying over the third week of January 2018 amid banks’ positive financial results, analysts told Mubasher.
The UAE bourses have hit record highs last week, extending gains on the back of Emirati banks’ significant financial statements, market analyst Inas Emqadish told Mubasher.
Emaar Properties’ financial results are projected to be positive to lead real estate stocks toward more gains over the coming period, Emqadish added.
Trading volumes over the past week have shown foreign investors’ interest in buying on the Dubai Financial Market (DFM), which is likely to continue, she highlighted.
The DFMGI may break above 3,620 points if it settles above 3,550 points, she indicated, adding that the Abu Dhabi General Index (ADI) may extend gains at 4,660 and 4,690 points if it surpasses 4,620 points.
Moreover, technical analyst at the African Economic Council Mona Mostafa said that the main indices of the UAE bourses have maintained the bullish trend last week on the back of blue chips.
The analyst attributed the consecutive upward trend to the relatively improved liquidity ratios and foreign investors’ tendency to buy on the Emirati stock markets, forecasting stocks to witness a positive performance in the first quarter of the current year.
The ADI ended last week at 4,625 points amid heavy buying, which has been reflected in blue chips, she noted.
The ADI is likely to carry on the upward trend, in line with the anticipated positive financial results of several firms during Q1-18, she explained.
The UAE stock markets are likely to maintain the upward trend this week amid the recovery of liquidity ratios, which may boost traders’ optimism, she commented.
The DFMGI has resistance at 3,560 and 3,588 points, while it has support at 3,490 and 3,460 points, she said.
Meanwhile, the ADI has resistance at 4,650 and 4,700 points, while it has support at 4,565 and 4,535 points, Mostafa added.
Translated by: Mai Ezz El-Din
