Stock markets in other parts of the world continued their rally on Monday as the US stock market celebrated the Martin Luther King holiday, with optimism over the global economy, inflation coming under control, and China’s reopening sentiment; all of which seemed to offset concerns over the Bank of Japan (BOJ)’s discourse to tighten its monetary policy, thereby driving the yen climbed to its highest since May. Several macroeconomic data that deserve today’s attention are: China’s Q4 GDP, UK Average Earnings Index (Nov.), German CPI (Dec.), German ZEW, which will provide an economic outlook for the next six months, as well as OPEC’s monthly report.

JCI started quite well this week, propped by the Trade Balance surplus data at USD 3.89 billion. Although it shrank from the forecast and the previous period of USD 5.16 billion, it maintained a surplus position for 32 consecutive months. Indonesia’s export value fell 1.1% on a monthly basis but rose 6.58% on an annual basis. Moreover, imports rose 5.16% on a monthly basis but still fell 6.6% on an annual basis. This macro data affect the positive sentiment in the market, accompanying the strengthening of a series of Asian currencies that drives the Rupiah to reach below the psychological level of IDR15000/ USD. By the JCI’s closing position right against MA10 Resistance, NHKSI RESEARCH suggests to Average Up if JCI is considered steady enough to break 6690 to head towards the TARGET/next resistance in MA20 or 6760 area. 

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