BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI bucked the regional market weakness to march higher on Friday, driven by the stronger-than-expected advance reading of 1Q2026 GDP data which expanded 5.3% year-on-year (yoy).
Trading activity, however, eased to 3.46 billion shares from 3.77 billion shares in the prior session. Market breadth stayed positive with 612 advancers overtaking 476 decliners, implying sustained investor confidence.
While the FBM KLCI momentum has shifted toward a distinct positive bias lately, the sudden re-closure of the Strait of Hormuz has again cast concerns and continues to weigh on global trade and energy costs.
As geopolitical risk premiums remain unabated and shipping insurance costs remain elevated, investor appetite is expected to rotate back into defensive assets, shying away from the equities market.
The weak global risk sentiment would likely mask the strong domestic fundamentals, suggesting a more cautious undertone over the near term.
Technically, the FBM KLCI has formed another bullish candlestick to tread a couple of points away from the 1,700 psychological level.
A decisive breakthrough above the aforementioned level could pave way towards the next resistances located at 1,716-1,722 points. Meanwhile, near-term supports are now shifted towards the 1,681-1,673 levels.
Malacca Securities Research
In view of Iran’s renewed closure of the Strait of Hormuz, we expect the local bourse to adopt a cautious, wait-and-see approach.
Meanwhile, we reiterate our optimism regarding MN Holdings Bhd following its recent RM275.9 mil contract win to undertake electrical infrastructure works for a data centre while peer CBH Engineering Holding Bhd is also benefiting from similar structural tailwinds.
Water and piping-related companies such as ISF Group Bhd and Ranhill Utilities Bhd have also attracted increasing buying interest with the former recently announcing a RM 22.5 mil contract win for cold water and sanitary plumbing services.
Lastly, we favour Southern Cable Group Bhd as it serves as a proxy for Tenaga Nasional Bhd’s grid upgrades with its share price having re-claimed the MA200 level.
The FBM KLCI rebounded with its technical indicators showing mixed signals at this current juncture as the MACD histogram expanded into the positive territory while the RSI is still trading below 50.
Resistance is seen around 1,710-1,715 with support at 1,675-1,680. – April 20, 2026
