BELOW are excerpts of viewpoints from two selected research houses on what investors can expect in the day ahead:
Berjaya Research
The FBM KLCI kicked off the week on a dour note, declining 1.6% on Monday to close below the 1,700 psychological level amid heightened concerns over escalating tensions in the Middle East.
Trading activity surged to 3.98 billion shares from 2.98 billion shares in the previous session, indicating intensified selling pressure across the broader market.
Market breadth remained negative with 956 decliners overwhelming 371 advancers.
The cautious sentiment is likely to persist over the near term as investors remain wary of external headwinds and lingering geopolitical uncertainties.
Market direction will also be closely guided by upcoming macroeconomic data, particularly China’s manufacturing release for signs of demand recovery, alongside the Chicago PMI and jobs opening data to gauge the strength of economic momentum and policy outlook.
Any signs of weakening global growth could further dampen risk appetite while firmer-than-expected data may provide intermittent support to equities albeit within a volatile trading environment.
The FBM KLCI has gapped down and formed a bearish candlestick to slip below the 1,700 psychological level.
With the afore-mentioned support giving way, the next supports are located at 1,675 points and 1,665 points respectively. Meanwhile, the immediate resistance is now located at the 1,700 psychological level, followed by 1,709 points.
Malacca Securities Research
The prospects of a longer-lived conflict and energy supply disruptions may yield favourable average selling prices (ASPs) for energy and chemical players.
Hibiscus Petroleum Bhd, Dialog Group Bhd and Petronas Chemicals Group Bhd are expected to benefit given the lack of progress in de-escalating shipment issues through the Strait of Hormuz.
Moreover, we believe Malaysian glove manufacturers are showing a gradual improvement in their fundamentals.
The nitrile butadiene rubber (NBR) supply disruptions caused by Middle Eastern tensions may normalise global glove supply, thus providing an upside opportunity for earnings moving forward.
The FBM KLCI closed on a weaker footing with technical indicators suggesting weaker signals at the current juncture as the MACD histogram formed a rounding top while the RSI closed below 50.
Resistance is seen around 1,725-1,730 with support at 1,675-1,680. – March 31, 2026
