Wall Street’s main index closed last week in positive territory after going through quite volatile trading on Thursday (06/04/23), as the release of economic data Initial Jobless Claims came out at 228 thousand, which was higher than the estimate of 200 thousand, although still lower than the previous period of 246 thousand. On the Good Friday holiday, the Nonfarm Payrolls (Mar.) figure was also announced at 236k (successfully lower than forecast and previous), although it has not shifted the Unemployment Rate (Mar.) at 3.5% (compared to forecast and previous 3.6%). The world crude oil prices recorded a brilliant performance last week due to the OPEC+ production cut plan by more than 1 million barrels/day. Brent contract prices surged 6.71% on the week, accompanying WTI prices which jumped 6.65%. Today, market participants in Indonesia will await the Foreign Exchange Reserves (Mar.) report; while Japanese investors will await their Current Account (Feb.) & Household Confidence (Mar.) data.
Throughout last week, JCI seemed to struggle a bit to break the medium term Resistance around 6850- 6870, and instead threatened the strength of MA10 Support position, making 6800-6795 level as a safety reference for JCI position if it still wants to maintain this short term up trend. A break of 6870 is crucial to pave JCI’s way to the 7000s. Therefore, NHKSI RESEARCH advises Indonesian capital market investors/traders to only Average Up when the Resistance has been officially broken.
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