The Egyptian Exchange is still subject to more profit-taking this week until it can confirm the breach of the key 12,000-point level. The benchmark index EGX30 closed at 12,012.31 points last week, recording a decline of 0.26%. Additionally, EGX70 EWI posted a 3.56% loss, concluding the last week at 2,234.21 points, while the S&P index declined by 2.16%, concluding at 1,931.11 points. Mohamed Othman, the Head of the Technical Analysis Department at Al-Ahly Pharos Holding, said that any decline is seen as a normal correction and a good chance to buy dips at relatively better levels. He added that the first minor support level to watch out for is 11,960 points, followed by 11,800 points. The first resistance level is 12,070 points, breaking above this level would pave the way to reach 12,250 points. According to performance variation among the stocks, Othman advises investors to reduce marginal exposures or trail the protective stop level for each stock to the nearest support level. EGX30 capped also declined by 0.97% and concluded at 14,258.6 points, while EGX100 EWI declined by 3.2% and concluded at 3,277.42 points last week. Furthermore, total market capitalisation reached EGP 768.4bn by the end of the same period, representing a decrease of 0.91% over the previous week. Additionally, the total value traded recorded EGP 22.5bn, while the total volume traded reached 1,498mn securities executed over 177,000 transactions last week. In the week before last, the total value traded recorded EGP 8.7bn, while the total volume traded reached 1,654m securities executed over 168,000 transactions. Stocks trading accounted for 25.46% of the total value traded of the main market, while the remaining 74.54% were captured by bonds over the last week. Egyptians represented 75.3% of the value traded in listed stocks, after excluding deals, during the last week. Meanwhile, foreigners accounted for 15.3%, while Arabs captured 9.4%. Moreover, foreigners were net sellers, with a net of EGP 152.3m, and Arabs were net buyers, with a net of EGP 75.6m, after excluding deals in listed stocks. Since the beginning of the year, Egyptians represented 79.4% of the value traded in listed stocks after excluding deals; foreigners accounted for 11.8% and Arabs captured 8.8%. So far, in 2022, foreigners are net sellers by EGP 304.9m, and Arabs are net buyers by EGP 156.0m.
