BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI continues to drift lower on Friday after reversing all its intraday gains as the key index recorded a 1.0% week-on-week decline.
Trading activity moderated to 3.38 billion shares against 3.59 billion shares in the prior session even as market breadth turned positive.
Advancers led decliners at 633 vs 415 stocks, suggesting a tentative improvement in underlying sentiment as geopolitical tensions in the Middle East took a backseat.
Looking ahead, the FBM KLCI may remain range-bound in the near term but the recent pullback could invite bargain hunting, particularly in oversold heavyweights and fundamentally sound stocks.
While external uncertainties still linger, improving market breadth and selective accumulation may lend support to the index, especially as investors position ahead of clearer macro and earnings catalysts.
Meanwhile, investors will be keeping a close watch on the US ISM Services PMI data later tonight.
Technically, the FBM KLCI has formed another bearish candlestick to drift slightly further from the 1,700 psychological level.
The downward bias range-bound pattern could persist with 1,683 points remaining as the immediate support, followed by 1,675 points. On the upside, the near-term resistances are located at the 1,700 psychological level and 1,711 points.
Malacca Securities Research
With FTSE Russell and Bursa Malaysia planning to increase the FBM KLCI constituents from 30 to 50, we view stocks such as KPJ Healthcare Bhd, Dialog Group Bhd and IGB REIT as potential inclusions.
Meanwhile, with the ringgit moving from RM3.88 towards the RM4.00 level against the greenback, bottoming signals are appearing in technology stocks like Inari Amertron Bhd and Frontken Corp Bhd with the latter expected to benefit from TSMC’s ramp-up of 2nm chip production.
Lastly, despite the discontinuation of the 10% preferential withholding tax (WHT) rate on REITs, we view the recent sell-off in REITs as a good accumulation opportunity, underpinned by their strong fundamentals.
The FBM KLCI closed on a weaker note with technical indicators showing softer momentum at this current juncture as the MACD histogram is trading below zero while the RSI is still below 50.
Resistance is seen around 1,710-1,715 with support at 1,675-1,680. – April 6, 2026
