BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI ended the week on a weaker footing, declining 2.1% week-on-week to close at its lowest level in over a month amid sustained selling pressure on selected heavyweights.
Trading activity picked up, with total volume rising to 3.53 billion shares from 2.99 billion shares in the previous session, reflecting intensified selling momentum.
The broader market also trended lower as market breadth remained negative with 842 decliners outpacing 376 advancers, underscoring the cautious sentiment across the board.
The FBM KLCI is expected to maintain a slight negative bias in the near term as risk sentiment remains pressured by tepid global cues and profit-taking in key index names.
Domestically, investors are likely to stay cautious ahead of the upcoming Malaysia manufacturing PMI release for further clues on economic momentum while external sentiment will be influenced by the US manufacturing PMI print which could sway risk appetite and currency flows.
Also, the escalating geopolitical tension in the Middle East over the weekend may likely affect sentiment today.
Technically, the FBM KLCI has formed another bearish candlestick and slipped below the 1,720 key support level.
With the aforementioned level giving way, further pullback is seen towards the next support located at 1,710 points, followed by the 1,700 psychological level. On the other hand, the immediate resistance is located at 1,734 points and thereafter at 1,745 points.
Malacca Securities Research
Closer to home, a better pledge redemption rate is expected for pawnbrokers such as Well Chip Group Bhd and Evergreen Max Cash Capital Bhd which command commendable margins.
While we previously suggested that Washington’s engagement with Venezuela in January could provide the necessary margin to reduce risk premiums associated with Iran’s Persian Gulf route where Washington may hold greater bargaining power regarding oil supply, we now opine that there will be an expected spike in crude oil prices from which upstream players stand to benefit.
The US-Malaysia interest rate differential may support the banking and REIT sector while decent prospective dividend yields are expected to provide a buffer against near-term volatility.
The FBM KLCI continued to close on a weaker footing. Moreover, technical indicators suggest momentum is weak at this juncture as the MACD histogram remains tilted in the negative region while the RSI has hooked below 50.
Resistance is envisaged around 1,731-1,736 with support at 1,701-1,706. – March 2, 2026
