BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI snapped its six-day winning streak with more than two-third of the benchmark index constituents ending the session in negative territory as investors turned cautious following the recent rally.
Trading activity moderated with total market volume easing to 3.24 billion shares from 3.83 billion shares in the preceding session.
Market breadth was fairly even with 567 advancers against 577 decliners, reflecting rotational play across the broader market.
Following the recent run-up, the FBM KLCI could enter a period of consolidation as investors digest the gains accumulated over the past few sessions while awaiting fresh catalysts.
Nonetheless, the market’s underlying tone is expected to remain relatively constructive, supported by resilient domestic economic conditions, sustained foreign fund participation and improving corporate earnings prospects.
Investors will also be closely monitoring the release of the latest US unemployment rate data later tonight as the outcome could shape expectations surrounding the Federal Reserve’s policy trajectory and influence sentiment across regional equity markets.
Technically, the key index has a bearish candlestick and could enter into a consolidation. The immediate resistances are located to 1,756 points, followed by 1,770 points. Meanwhile, near-term supports are pegged at 1,720 points and 1,711 points respectively.
Malacca Securities Research
On the local front, the FBM KLCI is expected to trade on a mixed footing. Spiking crude oil prices driven by Middle East supply disruptions will continue to provide immediate trading catalysts across energy plays such as Hibiscus Petroleum Bhd and Dayang Enterprise Holdings Bhd.
However, strong fundamental catalysts should continue to support resilience in tech counters such as Pentamaster Corp Bhd and EG Industries Bhd.
The former stands to gain from steady automated test equipment demand tied to AI (artificial intelligence) infrastructure build-outs while the latter remains well-positioned to capture re-routed optical module orders through its on-going “China+1” capacity expansions.
While the FBM KLCI retreated slightly, the technical indicators continued to show encouraging signals at the current juncture as the MACD histogram is expanding above the zero line while the RSI is also trading above 50.
Key resistance is pegged at 1,752-1,757 with support expected around 1,717-1,722. – Aug 7, 2026
