Market Summary: Heightened market volatility is anticipated in 2025

Apex Research highlights that the benchmark FBM KLCI is likely to consolidate as investors adopt a cautious approach amid renewed net selling by foreign funds. Similarly, lower liners may face a lack of fresh leads, leading to subdued activity.

Market volatility

Looking into 2025, heightened market volatility is anticipated, driven by uncertainties surrounding geopolitical risks, Trump’s second term, and the Federal Reserve’s interest rate trajectory.

Sector Outlook

Technology Sector: Export-oriented stocks, particularly those denominated in USD, are expected to attract bargain-hunting activities as the Dollar Index strengthens.

Energy Sector: Continued buying interest is anticipated, supported by rising crude oil prices.

Technical Analysis

The FBM KLCI exhibited a bearish candle, signaling potential profit-taking and interim consolidation. Despite this, technical indicators remain positive: the MACD Line is above the Signal Line, and the RSI is trending above 50. Key levels include immediate resistance at 1,645 and support around 1,600.

Source: Apex Research

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