BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI rebounded on Monday, recouping most of its losses from the previous session as bargain-hunting activities lifted market sentiment.
Broader market indices also ended firmer, reflecting improved risk appetite. Trading activity picked up with total volume rising to 2.53 billion shares compared with 2.08 billion shares in the prior session with market breadth also on the positive side.
Looking ahead, the FBM KLCI is expected to maintain a mildly positive bias as the index looks to build on yesterday’s gains, underpinned by improving near-term sentiment and selective buying interest.
In addition, the easing market volatility following recent pullbacks may encourage sidelined investors to gradually re-enter the market.
While upside momentum may remain measured amid lingering external uncertainties, sustained accumulation of index-linked and fundamentally sound names could help support the benchmark and keep the index on a steady recovery path, barring any adverse global developments.
Technically, the key index has formed a bullish candlestick and poised for resumption of late last year’s rally.
The immediate resistance is located at 1,685 points, followed by 1,694 points. On the other hand, the supports are at 1,665 points and 1,658 points respectively.
Malacca Securities Research
Firm Wall Street risk appetite should propel overall sentiment on the local front.
Meanwhile, the RM100 SARA Aid which is to be credited by this February alongside a stronger ringgit, should continue to support buying interest for 99 Speed Mart Retail Holdings Bhd.
Moreover, Life Water Bhd forward PER remains relatively cheaper than, Spritzer Bhd which on the overall should provide room for further upside.
Beside healthier margins as compared to the peers, we foresee the Sandakan-based Life Water to benefit from Visit Malaysia 2026 (VMY 2026), particularly given Sabah’s position as a strategic tourism destination.
Lastly, we foresee trading opportunities within Lim Seong Hai Capital Bhd, supported by its sizeable orderbook.
The FBM KLCI index close higher. However, technical indicators point to a mixed juncture as the MACD histogram still remains in positive territory while the RSI has hooked below 70, indicating momentum is softening.
Resistance is anticipated around 1,695-1,700 while support is located at 1,660-1,665. – Jan 6, 2026
