Dubai: The Dubai index took a breather on Tuesday, after gaining for eight out of nine sessions, with analysts expecting traders to buy stocks that didn’t participate in the recent rally.

The Dubai Financial Market General Index closed 0.26 per cent lower at 3,526.16, after moving in a tight range of 3,516.22-3,547.74.

“There is some softness as there are no new leads to take the market forward. Even the rally in international markets has slowed down,” Mohammad Shabbir, head of equity funds and portfolios at Rasmala, said.

Arabtec closed 1.91 per cent lower at Dh1.54, while Dubai Islamic Bank closed nearly 1 per cent lower at Dh5.45.

Emaar Properties closed 0.73 per cent higher at Dh6.90.

“Emaar witnessed further buying, formed a high at Dh6.93, almost closer to our target level of Dh6.95. The trend still remains up and only a close below Dh6.73 can turn it down,” Shiv Prakash, senior analyst with National Bank of Abu Dhabi Securities said in a note.

DP World ended 0.30 per cent higher at $16.99 (Dh62.39).

Out of a total of 39 stocks traded on the bourse, shares of 23 firms fell, while other 11 rose.

Traders would also eye for second results for direction.

“Results have been mixed so far. Investors would be closely looking at Emaar, Etisalat results. If they are significantly different from expectations then markets would move,” Shabbir said.

On Monday, Emirates NBD posted a 16 per cent rise in net profit for the June quarter. The Abu Dhabi Securities Exchange General Index closed 0.46 per cent lower at 4,564.98. RAK Properties closed more than 3 per cent higher at Dh0.61.

Eshraq Properties closed 1.28 per cent lower at Dh0.77.

Aldar Properties closed less than 1 per cent lower at Dh2.77. Out of a total of 32 stocks traded on the exchange, shares of 12 firms rose, while other 16 firms fell.

Strong undercurrent

The index has gained 8 per cent in the previous eight of the nine sessions, and the under current remains strong, analysts said.

The rally which began from lows of 3,208, gained further strength after it broke the barrier at 3,380 in the recent past, and on Tuesday formed another high at 3,547.

“Overall, the index remains bullish and the market is holding onto the gains, with immediate support seen at the 3,480 level,”  Prakash said.

“Traders may look to buy those stocks which could not participate in the recent up move. Gulf Navigation, SHUAA and DEYAAR may witness a catch-up soon in the near term. Dar Takaful and Takaful Emarat may gain further strength in the short term,” Prakash said.

Dar Takaful closed more than 4 per cent to be at Dh1.15.

Rest of Gulf

The Qatar exchange index closed 0.60 per cent higher at 10,648.58.

“Qatar is just playing catch-up after falling behind more than other regional indices,” Shabbir said.

The Qatar index is up only 2 per cent so far in the year, compared to a near 12 per cent rise in the Dubai index.

Banks like Qatar National Bank, Commercial Bank of Qatar are to be watched given the situation in Turkey as they have significant exposure in Turkey, Shabbir added.

In Saudi Arabia, the Tadawul index closed 0.59 per cent lower at 6,642.56. Muscat Securities MSM 30 index closed 0.08 per cent lower at 5,839.28.