BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI extended its gains on Thursday, lifted by positive performances in more than half of the key index components.
Trading activities simmered, however, with total volume eased to 3.49 billion shares from 4.26 billion shares in the prior session, reflecting a more selective trading tone.
As sentiment turned less favourable, lower liners also retreated, resulting in market breadth turning slightly negative.
For the day ahead, the FBM KLCI may extend its positive momentum, supported by selective buying in blue-chip counters and improving regional risk appetite.
Still, upside potential could remain modest as investors turn their attention to Malaysia’s upcoming trade data and the advance estimate of its 3Q 2025 GDP (gross domestic product) which may influence near-term market sentiment.
A more cautious trading tone could emerge with the key index looking to hold above the 1,600 psychological level as market participants await further clarity on the country’s economic outlook.
Technically, the FBM KLCI formed a bullish candle to extend its consolidation pattern. We continue to advocate for a potential rebound with the 1,622 points serving as the immediate resistance, followed by 1,635 points and 1,657 points respectively.
Meanwhile, the supports remain pegged at 1,611 points and 1,600 points respectively.
Malacca Securities Research
Given Wall Street’s negative performance, we expect the FBM KLCI to trade on a softer note ahead of the long weekend.
Meanwhile, analysts remain optimistic on Frontken Corp Bhd, underpinned by (i) stronger demand from TSMC ahead of the 2nm mass production; (ii) improved pricing power arising from more complex precision cleaning processes; and (iii) new business opportunities from TSMC’s on-going US expansion plans.
The Budget 2026’s continued support for the National Semiconductor Strategy (NSS) may also bode well for the semiconductor stocks.
Finally, traders may focus on Inari Amertron Bhd, Pentamaster Corp Bhd and AWC Bhd for trading opportunities.
The FBM KLCI continued to trade on higher-lows pattern, but with technical indicators suggesting mixed signals; the MACD histogram is hovering in the negative territory while the RSI is slightly above 50.
Resistance is anticipated around 1,627-1,632 while support is located at 1,592-1,597. – Oct 17, 2025
