Dubai index ends subdued after a flat trading session
ANALYSTS EXPECT DULLNESS IN THE MARKET TO CONTINUE TILL THE END OF JUNE Tadawul up 0.77% Percentage by which Saudi’s index ended higher
D ubai index traded almost flat yesterday in absence of any fresh leads amid very low volumes. Saudi’s Tadawul ended a tad higher. The Dubai Financial Market General Index ended 0.20 per cent lower at 4,059.52, after trading in a tight range of 4,040.90-4,080.74.
“It’s a very dull market as there are no catalysts around,” Mohammad Shabbir, head of equity funds and portfolios at Rasmala Investment Bank told Gulf News, adding “Dubai index may trade in the range of 4,000-4,300. If you look at the charts, Dubai index has the potential to come down than going up.”
Dubai index may witness further downside below the keenly watched 4,000 level.
“If Dubai index breaches the support level of 4,040, then we might see further downside to 3,910, said Osama Al Ashri, member of British organisation, Society of Technical Analysts.
Gulf Finance House ended 1.17 per cent lower at Dh0.757. “The outlook is still positive and Gulf Finance House may hit a resistance level of Dh0.94 by next month, said Al Ashri said.
Stocks on Dubai index may witness further consolidation as the index is unable to breach the key resistance level of 4,184, Al Ashri said.
Emaar Properties ended 0.50 per cent higher at Dh8.05, while Dubai Parks and Resorts ended 1 per cent higher at Dh1.05.
“We are positive on Dubai Parks and Emaar Properties as we like the theme,” Shabbir said.
Out of a total of 33 stocks traded on the exchange, shares of 19 companies fell, while shares of 10 companies rose.
Abu Dhabi Securities Exchange General Index ended 0.23 per cent lower at 4,615.09.
Abu Dhabi index may witness more stability near its resistance level of 4,780, Al Ashri said.
Dana Gas shares ended 2.27 per cent lower at Dh0.43, while Aldar Properties ended 1.44 per cent lower at Dh2.43.
Dullness
“The dullness is across the region, and the markets are likely to stay that way at least till the end of June,” Shabbir said, adding “the overhang is because of less foreign interest.”
Saudi’s Tadawul index ended 0.77 per cent to end at 9,801.4.
“Tadawul index is holding up quite well. We would have to wait for another 2-3 weeks for further direction,” Shabbir added.
Elsewhere in Gulf, Qatar Stock Exchange ended 0.08 over cent higher at 12,409.13, while Muscat Securities Exchange MSM 30 index ended 0.20 per cent higher at 6,390.32.
Kuwait Stock Exchange index ended 0.09 per cent higher at 6,309.64, while Bahrain Bourse All Share Index ended 0.22 per cent higher at 1,366.94.