Dubai index continues to remain over the critical resistance level

Dubai index continues to remain over the critical resistance level

Published: 16:32 June 14, 2017

Siddesh Suresh Mayenkar, Senior Reporter

Dubai: Dubai stocks gained for a seventh session on Wednesday, trading above the critical resistance level even as stocks witnessed scattered buying across names.

The Dubai Financial Market General Index closed 0.26 per cent higher at 3,450.78, after gaining 4 per cent in the past six sessions. The index has been trading over the 50-day moving average of 3,419.

Arabtec closed 1.96 per cent higher at Dh0.781 before the price adjustment which will happen on June 25.

Dubai Entertainments closed 5.45 per cent higher at Dh0.793. Insurance stocks also saw witnessed buying.

Dar Al Takaful gained 1.8 per cent at Dh1.13 while Amanat closed 1.75 per cent higher at Dh1.16.

Gulf Finance House closed 1.77 per cent lower at Dh2.22.

“GFH may test a recent high of Dh2.82 once more and, if broken, could target the Dh3.90 [mark],” Hisham Khairy, head of institutional trading at Menacorp, said.

The Abu Dhabi Securities General Index closed 0.04 per cent lower at 4,535.57.

Dana Gas witnessed profit-taking after surging in the previous sessions, forcing it 1.45 per cent down to Dh0.68.

“Dana Gas has been very strong for the past eight sessions and broke all kinds of resistances on restructuring plans and receivables,” Khairy said. “Dh0.70 is a minor resistance which should not stop the stock from continuing its move to the upside but it is now overbought and needs to correct, stock could open with a gap and then see some profit taking would wait to enter.”

RAK Bank shed 1.56 per cent to Dh4.43 while Abu Dhabi Commercial Bank closed 0.96 per cent lower at Dh7.25. Invest Bank also lost ground, closing 1.23 per cent lower at Dh2.4.

Elsewhere in the Gulf region, Saudi Arabia’s Tadawul index closed 0.43 per cent higher at 6,849.96.

The Qatar Exchange index closed 1.04 per cent higher at 9,189.98 while The Muscat MSM 30 index shed 0.24 per cent to close at 5,300.71.