BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The consolidation spell continues on Bursa Malaysia as the key index shed further gains to sustain its downtrend for a second session yesterday albeit the pullback remains mild.
As it is, leads were still far and in-between that left the index-linked stocks to drift again.
Nevertheless, most broader market shares sustained their uptrend on rotational interest that also helped market breadth to stay positive. Energy stocks were among the day’s main movers with total trades little changed from a day earlier.
Near-term market conditions are likely to remain indifferent due to fewer available catalysts, both from domestic and external sources, to lift stocks higher ahead of the weekend.
Consequently, the broadly sideway trend is expected to prevail with domestic institutions providing much of the support as foreign institutions are still offloading some of their recent buys in what is seen as profit taking activities.
Despite the possible indifferent market conditions, the key index could attempt to hover close to the psychological 1,600 level, maintaining a base-building trend ahead of the closure of the 3Q 2025 quarter.
Above the 1,600 hurdle is 1,611 points before the stronger resistance of 1,620 points come into play. The supports, meanwhile, are at 1,585 points and 1,580 points respectively.
Malacca Securities Research
With risk-off sentiment persisting on Wall Street, we expect Malaysia’s key index to open on a weaker footing.
However, we expect the bargain hunting activities to be seen within selected sectors such as utilities on the back of on-going NETR (National Energy Transition Roadmap) execution and power grid upgrades by Tenaga Nasional Bhd while the technology sector has been on a recovery trend after a long consolidation.
We continue to favour ITMAX System Bhd as its recent contract wins strengthened its recurring income base, offering robust earnings visibility over the next 15-20 years.
Besides, HE Group Bhd has performed a follow through buying interest after the flag breakout should observe higher trading range for the near term.
The FBM KLCI ended flat on Thursday. However, the technical indicators are suggesting a mixed sentiment with the MACD histogram expanding into the negative region while the RSI is hovering above 50.
Resistance is anticipated around 1,613-1,618 while support is located at 1,578-1,583. – Sept 26, 2025
