The JCI July 5, 2019

𝐉𝐮𝐥𝐲 𝟓, 𝟐𝟎𝟏𝟗

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞 𝐭𝐨𝐝𝐚𝐲 : 𝟔,𝟑𝟑𝟎𝐩𝐭 – 𝟔,𝟒𝟎𝟎𝐩𝐭 (𝐲𝐞𝐬𝐭𝐞𝐫𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞: 𝟔,𝟑𝟕𝟔𝐩𝐭)

* 𝐒𝐥𝐨𝐰 𝐭𝐫𝐚𝐝𝐞 𝐭𝐨𝐝𝐚𝐲 𝐟𝐨𝐫 𝐥𝐚𝐜𝐤 𝐨𝐟 𝐫𝐞𝐠𝐢𝐨𝐧𝐚𝐥 𝐠𝐮𝐢𝐝𝐚𝐧𝐜𝐞

* 𝐈𝐧𝐯𝐞𝐬𝐭𝐨𝐫𝐬 𝐚𝐰𝐚𝐢𝐭𝐢𝐧𝐠 𝐔𝐒 𝐧𝐨𝐧-𝐟𝐚𝐫𝐦 𝐣𝐨𝐛𝐬 𝐝𝐚𝐭𝐚 𝐭𝐨𝐧𝐢𝐠𝐡𝐭

Morning,

The Jakarta Composite Index (JCI) today (5/7) is expected to be in a subdued tone in the range of 6,330pt – 6,400pt for lack of regional guidance. Wall Street was on national holiday yesterday (4/7), while Asia equity market is holding back buying while awaiting for US non-farm job data for June , to be released today US time.   The US private payrolls data release on 3/7,  much below expectation , did prompt buying spree in Wall Street with the DJIA reached its all time high at 26,966pt, for hope that central bank the Fed to cut rate during July’s FOMC meeting. Meanwhile, Japan’s equity index Nikkei, barely moved during opening time this morning,  +0.08%, while China Shanghai -0.06%, and Korea Kospi nearly flat at +0.1%.

The JCI today is expected to be supported by stronger USDIDR that closed at IDR14.106 yesterday vs. IDR14.160 previously.  WTI price closed at USD56.9/barrel, lower of 0.8% than previous close.

We keep the following recommendations. These counters have been hit hard since the end of  March this year and thus offer bargain opportunity both for trading and longer term investment purpose. 𝐀𝐀𝐋𝐈, 𝐋𝐒𝐈𝐏 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘈𝘨𝘳𝘪, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘜𝘯𝘥𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵 ), 𝐔𝐍𝐓𝐑, 𝐈𝐓𝐌𝐆, 𝐀𝐃𝐑𝐎, 𝐏𝐓𝐁𝐀 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘊𝘰𝘢𝘭 𝘔𝘪𝘯𝘪𝘯𝘨, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘔𝘢𝘳𝘬𝘦𝘵-𝘸𝘦𝘪𝘨𝘩𝘵), 𝐆𝐆𝐑𝐌, 𝐔𝐍𝐕𝐑, 𝐈𝐂𝐁𝐏 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘊𝘰𝘯𝘴𝘶𝘮𝘦𝘳, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘖𝘷𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵 ), 𝐀𝐒𝐈𝐈 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘈𝘶𝘵𝘰𝘮𝘢𝘵𝘪𝘷𝘦, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘔𝘢𝘳𝘬𝘦𝘵-𝘸𝘦𝘪𝘨𝘩𝘵), 𝐚𝐧𝐝 𝐀𝐂𝐄𝐒, 𝐒𝐂𝐌𝐀, 𝐌𝐀𝐏𝐈 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘛𝘳𝘢𝘥𝘦, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘖𝘷𝘦𝘳𝘸𝘦𝘪𝘨𝘩𝘵),𝐚𝐧𝐝 𝐓𝐊𝐈𝐌 (𝐬𝐞𝐜𝐭𝐨𝐫 𝐨𝐟 𝘉𝘢𝘴𝘪𝘤 𝘐𝘯𝘥𝘶𝘴𝘵𝘳𝘺, 𝐚𝐥𝐥𝐨𝐜𝐚𝐭𝐢𝐨𝐧 𝐬𝐮𝐠𝐠𝐞𝐬𝐭𝐢𝐨𝐧 𝘔𝘢𝘳𝘬𝘦𝘵-𝘸𝘦𝘪𝘨𝘩𝘵).

Cheers,