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Bursa Malaysia ends week mixed as profit-taking in heavyweights drag key index

KUALA LUMPUR: Bursa Malaysia ended mixed on Friday evening, with the key index dragged by profit-taking as buying interest supported the broader market.

At 5 pm, the benchmark index lost 2.39 points or 0.14 per cent from Thursday's close of 1,615.64, to end the week at  to 1,613.25.

The index opened 0.21 of-a-point higher at 1,615.85 and moved between 1,611.25 and 1,617.57 throughout the day.

However, market breadth was positive as gainers led losers 574 to 465, while 524 counters were unchanged, 913 untraded and 12 suspended.

Turnover narrowed to 3.18 billion units valued at RM2.82 billion versus 3.24 billion units valued at RM2.74 billion on Thursday.

Rakuten Trade Sdn Bhd equity research vice president Thong Pak Leng said market participants remained on edge ahead of the release of key US jobs data, compounded by overnight losses on Wall Street, which further dampened sentiment.

Looking ahead, Thong said all eyes will be on China's annual Central Economic Work Conference, a pivotal event expected to outline key policy measures and stimulus strategies for the world's second-largest economy.

"Investors are also closely monitoring the release of China's November CPI inflation data on Tuesday and trade data on Wednesday, which could provide critical insights into the nation's economic trajectory," he said.

Back home, Thong said the FBM KLCI has displayed stability over the last 10 days, closed above the critical 1,600 level for several days. He said a breakout above 1,617 with strong trading volume could signal short-term bullish momentum, targeting the resistance levels at 1,625 and 1,650.

"The narrowing 20-day and 50-day exponential moving averages (EMAs) suggest strengthening bullish momentum, increasing the likelihood of a bullish crossover, which could confirm a broader uptrend.

"Similarly, the widening gap between the moving average convergence/divergence (MACD) and signal line reflects improving sentiment and a transition from consolidation to bullish territory. "We recommend that investors monitor both indicators for actionable signals. For the upcoming week, we expect the index to trade within the 1,605–1,625 range," he added. 

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