Selective buying in Dubai stocks as results near

Dubai:

The Dubai index rose on Tuesday, extending gains for another session ahead of second quarter results. The Abu Dhabi index also gained.

The Dubai Financial Market general index closed 0.64 per cent higher at 3,439.88. The index has mostly been a gaining streak since June 5, with some bout of profit-taking in between.

“Buying may continue in select counters, which shall lift the index back towards the resistance of 3,465,” said Shiv Prakash, senior analyst with National Bank of Abu Dhabi Securities. The index breached past the 50 day moving average of 3,395 on June 12.

Dar Al Takaful, HITS Telecom along with Dubai Islamic Bank witnessed buying from lower levels. Dar Al Takaful closed more than 7 per cent higher at Dh1.2.

“Today’s price action in Dar Al Takaful hints at further recovery towards Dh1.23 and later shall target Dh1.35 in the short term,” Prakash said.

HITS Telecom closed 6.5 per cent higher at Dh0.59. “Overall traders may look to hold the buy positions and add over the 3465 barrier,” said Prakash.

Dubai Islamic Bank closed 1.42 per cent higher at Dh5.70. The stock was the most actively traded name on the Dubai bourse.

Union Properties closed 0.32 per cent lower at Dh0.937. Arabtec closed 0.59 per cent higher at Dh3.42.

Double bottom

The Abu Dhabi Securities Exchange general index closed 0.24 per cent higher at 4,408.66.

“If the support at 4,350 holds strong, we expect recovery towards the 4,515 and that may form a Double Bottom (bullish pattern) on the chart,” said Prakash.

Elsewhere in the Gulf, Saudi Arabia’s Tadawul index closed 0.12 per cent higher at 7,245.39. The Qatar exchange index closed 0.39 per cent higher at 9,030.16.

The Kuwait Stock Exchange index closed 0.45 per cent higher at 6,778.62. The Bahrain stock exchange index closed 0.27 per cent higher at 1,311.82.

The Egyptian stock exchange index closed 1.52 per cent higher at 13688.44.