Market Overview: Accumulate or wait and see?

The FBM KLCI faced continued pressure from foreign selling, closing slightly above 1,560.

Foreign funds may be reducing their exposure ahead of Trump’s inauguration, awaiting tariff-related policies.

Accumulate

“As we moved halfway into January, the index has already lost 5%. Nonetheless, we believe this presents an excellent opportunity to accumulate shares thus expect the index to hover within the 1,565-1,580 range today,” says Rakuten Trade.

The index has declined by 5% in January so far, but this could be an accumulation opportunity.

Expected range for the index today: 1,565-1,580.

Investment Idea: CBHB (0339) [IPO]

• Recommendation: BUY

• Fair Value: RM0.44

• Basis: Weighted average PER of 18x (regional sector average) on FY25F EPS.

Technical View: DIALOG (7277)

• Resistance Levels: RM1.94 (R1), RM2.07 (R2).

• Support Levels: RM1.84 (S1), RM1.76 (S2).

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