BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI gapped down and settled lower for the fifth consecutive session, tracking the broadly negative performance across regional peers.
Trading activity remained firm with total volume hovering at 3.90 billion shares vs 3.53 billion shares in the previous session to reflect persistent selling pressure.
Market breadth deteriorated further as 1,039 decliners overwhelmed 290 advancers, underscoring the fragile sentiment and broad-based weakness across the wider market.
Selling pressure remains evident with the key index now attempting to defend the 1,700 psychological threshold.
While intraday bargain hunting has surfaced intermittently, it has yet to meaningfully shift the prevailing cautious tone, indicating that buying conviction is still tentative.
That said, the index’s ability to hold near this key support level suggests that selective accumulation interest is beginning to emerge.
Although near-term downside risks persist amid on-going geopolitical uncertainties in the Middle East that continue to weigh on risk appetite, oversold conditions among selected large cap stocks could gradually attract value-oriented investors should external headlines stabilise.
Technically, the FBM KLCI has gapped down and consequently holding marginally above the 1,700 psychological level.
Current levels may start to present more compelling entry points for longer-term investors with a higher risk tolerance with the immediate resistance now shifted to 1,711 points, followed by 1,720 points.
Downside wise, the 1,685 points serves as the immediate support, followed by 1,667 points.
Malacca Securities Research
Overall, we expect bargain-hunting activity in the local market while the elevated gold price may boost pawnbrokers such as Well Chip Group Bhd and Evergreen Max Cash Capital Bhd.
Meanwhile, global insurers pulling out war-risk coverage for the Strait of Hormuz indicates left-tail risks to the crude oil supply. This could potentially trigger another sharp spike in oil prices from which upstream players may stand to benefit.
In view of the uncertainty, buying interest may be seen in the banking sector, particularly CIMB Group Holdings Bhd, supported by decent dividend yields among large-caps which may 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 1,715-1,720 with support at 1,685-1,680. – March 3, 2026
