The JCI July 8, 2019

𝐉𝐮𝐥𝐲 𝟖, 𝟐𝟎𝟏𝟗

* 𝐓𝐡𝐞 𝐉𝐂𝐈 𝐭𝐫𝐚𝐝𝐢𝐧𝐠 𝐫𝐚𝐧𝐠𝐞 𝐭𝐨𝐝𝐚𝐲 𝐦𝐚𝐢𝐧𝐭𝐚𝐢𝐧𝐞𝐝 𝐚𝐭 𝟔,𝟑𝟑𝟎𝐩𝐭 – 𝟔,𝟒𝟎𝟎𝐩𝐭 (𝐅𝐫𝐢𝐝𝐚𝐲 𝐜𝐥𝐨𝐬𝐞 𝐚𝐭 𝟔,𝟑𝟕𝟒𝐩𝐭)

* 𝐋𝐚𝐜𝐤 𝐨𝐟 𝐝𝐨𝐦𝐞𝐬𝐭𝐢𝐜 𝐭𝐫𝐢𝐠𝐠𝐞𝐫𝐬

* 𝐔𝐒 𝐧𝐨𝐧-𝐟𝐚𝐫𝐦 𝐣𝐨𝐛𝐬 𝐉𝐮𝐧𝐞 𝐟𝐢𝐠𝐮𝐫𝐞 𝐝𝐚𝐦𝐩𝐞𝐧𝐞𝐝 𝐡𝐨𝐩𝐞 𝐟𝐨𝐫 𝐫𝐚𝐭𝐞 𝐜𝐮𝐭

Morning,

The Jakarta Composite Index (JCI) today (8/7) is expected to be, as was in Friday  (5/7), in a narrow range within  6,330pt – 6,400pt for lack of domestic triggers. In addition, release of the United States non-farm job figure on Friday last week showed that the country gained 224,000 additional jobs as compared to 165,000 units of analysts’ estimate. The better-than-expected job data lower investors’ hope that central bank the Fed might cut rate on its July meeting. The DJIA ended lower by 44pt or 0.2% at 26,922pt during Friday close, while S&P500 dan Nasdaq both closed lower by 0.2% and0.1%, respectively.

The JCI today is expected to be supported by stable USDIDR that closed at IDR14.148 on Friday vs. IDR14.106 previously.  WTI price close at USD57.5/barrel last week, higher of 0.3% than previous close would support the JCI at our estimated lowest range today.

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,