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 Friday as the key index recorded 0.6% week-on-week gains on a holiday shortened trading week.
Trading activity moderated to 3.41 billion shares from 3.48 billion shares in the previous session. Market breadth stayed negative with 666 decliners outnumbering 477 advancers as gains were largely concentrated on selected index-linked heavyweights.
Looking ahead, the FBM KLCI will attempt to build on last week’s recovery.
Sentiment is likely to remain cautiously constructive, supported by mild bargain hunting interest as investors take comfort in the index’s improving near-term momentum following the prolonged sell-off in recent weeks.
On the external front, market participants will be closely monitoring the release of Japan’s 1Q 2026 GDP (gross domestic product) data which will be scrutinised for further insights into the health of the world’s fourth largest economy.
Technically, the key index formed another bullish candlestick to re-test the EMA120 level. The near-term resistance is pegged at the 1,700 psychological level, followed by the 1,707 points.
On the other hand, the immediate support is located at the 1,672 points and thereafter at 1,665 points.
Malacca Securities Research
Tracking the strong sell-down on Wall Street last Friday, we believe the negative sentiment will spill over into the local bourse today, thus creating buy-on-the-dip opportunities among banking counters.
Meanwhile, we continue to like Kobay Technology Bhd and Oxford Innotech Bhd as they transition from simple metalwork operations into high-specification engineering companies which leave them well-positioned to ride the semiconductor and AI infrastructure upcycle.
Lastly, with an outstanding order book of RM8.7 bil targeting DCs (data centres), infrastructure and parent company projects, we continue to favour Sunway Construction Group Bhd which is currently experiencing a healthy pullback within an intact uptrend.
While the FBM KLCI has rebounded, its technical indicators are still trending with a negative momentum at this current juncture as the MACD histogram is trading in the negative territory while the RSI is trading below 50.
Resistance is seen around 1,708-1,713 with support at 1,673-1,678. – June 8, 2026
