ABU DHABI: The Dubai Financial Market (DFM) index continued to incline slowly on Tuesday, moving up 0.09 per cent to 4974.51 as trade values remained relatively high at Dh927.4 million.

Meanwhile, the Abu Dhabi Securities Exchange (ADX) general index rose 0.72 per cent to reach 5,115.5.

While DFM trade values are considered some of the highest during this month, analyst Osama Al Ashry said that trade in Dubai remains unhealthy as it is dominated by the real estate sector alone.

“The DFM index ended the day in the green, which is a positive sign. However, the real estate sector accounted for over 75 per cent of the total trade value, which makes trade unreal, and it shows that there is no real purchasing power in the market, but rather some investors who direct the market as they wish,” he said.

With a value of Dh474.3 million, Arabtec alone accounted for 51 per cent of the total trade value on DFM. Share prices for the construction giant climbed 2.47 per cent to reach Dh4.57 — the highest since July 16.

The rise in Arabtec prices comes amid speculations that former Chief Executive Officer, Hasan Ismaik, is close to selling part of his stake in the company.

While Emaar share prices added 0.48 per cent, other powerhouses ended the day in the red. Union Properties fell 0.43 per cent, Deyaar Developments went down 0.76 per cent, Dubai Investments Co. dropped 0.52 per cent, and Gulf Finance House slid 1.11 per cent.

In Abu Dhabi, the National Bank of Umm Al Qaiwain topped the gainers’ list with a 9.52 per cent change, followed by National Takaful Company with 9.26 per cent, Ras Al Khaimah National Insurance Company with 8.11 per cent, and Abu Dhabi National Energy Company (Taqa) with 6.9 per cent.

Discussing market performance, Al Ashry added, “The DFM index is moving very slowly, and the longer it stays in this level, the riskier the market is. I won’t be optimistic until the index reaches 5,288.”

He also said that the outlook for the short and medium terms appears positive, but the long term is definitely negative.

Commenting on Arabtec share prices, the analyst said they could reach Dh5, but he was sceptical whether that could be crossed.

As for ADX, Al Ashry, a member of the UK’s Society of Technical Analysts, said, “Trade in Abu Dhabi is very stable. I think the index can easily reach its resistance level of 5,251, and if that is broken, it can reach 5,500.”

Of the 33 stocks traded on DFM, 12 went up, 16 went down, and five remained unchanged. Of the 36 stocks traded on ADX, 17 advanced, 13 declined, and six remained flat.

— With inputs from Bloomberg