BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI staged a swift recovery on Thursday, lifted by bargain hunting activities in tandem with the rebound across regional markets.
Trading activity, however, moderated with total volume declining to 2.85 billion shares from 3.51 billion shares previously as buying momentum remained cautious amid on-going geopolitical tensions in the Middle East.
Market breadth turned slightly positive with 572 advancers nudging 511 decliners, reflecting an improved sentiment across the broader market.
The FBM KLCI outlook carries a slight positive bias after reclaiming the 1,700 psychological level as the recent technical rebound could extend in the near term, supported by bargain hunting activities and stabilising sentiment across regional markets.
However, upside momentum could be short-lived following the renewed volatility on Wall Street overnight on fears of disruption to oil & gas (O&G) supplies with the closure of the Strait of Hormuz.
Meanwhile, investors will be keeping a close tab onto the release of US unemployment rate and retail sales data later tonight.
Technically, the FBM KLCI has formed a gap up to close at its intraday high. The local bourse looks to defend the 1,700 psychological level again with the next support located at 1,685 points.
Meanwhile, the immediate resistance is pegged at 1.720 points, followed by 1,737 points.
Malacca Securities Research
With Bank Negara Malaysia (BNM) keeping rates steady, this should be positive for the banking sector, underpinned by favourable US-Malaysian rate differentials and a stronger ringgit which should benefit banks’ assets.
Robust prospective dividend yields should provide a hedge against near-term volatility as well.
In view of another rally in crude oil, upstream players like Hibiscus Petroleum Bhd are expected to continue benefiting.
We also see merit in AME Elite Consortium Bhd, ITMAX System Bhd and KJTS Group Bhd due to their recurring income streams which should mitigate earnings volatility.
Solar contractors also appear to be trading at depressed valuations with LSS (Large Scale Solar) packages remain as the key focus.
The FBM KLCI closed on a firmer footing. However, technical indicators suggest momentum remains weak with the MACD histogram still in the negative region while the RSI is hovering below 50.
Resistance is seen around 1,728-1,733 with support at 1,693-1,698. – March 6, 2026
