Dubai: The Dubai index managed to trade above the critical support level, supported by buying on Dubai Islamic Bank (DIB) and Dubai Investments.

The Dubai Financial Market General Index closed 0.44 per cent higher at 3,572.44, after trading in a tight range of 3,551-3,572.

“The positive thing in the market is that Dubai index is holding a critical support of 3,540, and if it manages to hold this level, we may retest the previous high,” Shiv Prakash, senior analyst National Bank of Abu Dhabi Securities. The previous high of 3,623 was registered on August 16.

In stock-specific action, Dubai Islamic Bank, Emaar Properties and Dubai Investments witnessed buying. DIB closed 0.54 per cent higher at Dh5.60.

“If DIB breaches the previous high of Dh5.62, it may witness further buying and hit resistance level of Dh5.77,” said Prakash.

Emaar Properties recovered to close 0.55 per cent higher at Dh7.30. Dubai Investments moved higher, ending 1.39 per cent up at Dh2.19. Gulf Navigation closed 2.83 per cent higher at Dh1.09. Volumes in Gulf Navigation jumped to 12.79 million shares, its highest level since July 20.

The Abu Dhabi Securities Exchange General Index closed 0.15 per cent lower at 4,518.45. The Abu Dhabi index may witness rangebound trading and may trade in the range of 4,500-4,580, said Prakash.

Eshraq Properties witnessed higher volumes, with 38.71 million shares getting traded. The stock closed higher 1.33 per cent at Dh0.76. “Eshraq is poised to target Dh0.81 in the near term,” said Prakash. Methaq Properties closed 2.22 per cent higher at Dh0.92.

Out of a total of 26 stocks traded on the exchange, shares of 10 firms rose, while other 7 fell. The rest remained steady.

Critical

“The next two months would be critical for GCC equity markets. We have seen a happy period so far, I don’t know if these levels would last,” said Muhammad Shabbir, an independent research analyst.

“We have not seen a broad based rally, and the problems like global growth, a looming rate hike and that’s making me sceptical,” Shabbir added.

Elsewhere in the Gulf on Thursday, Saudi Arabia’s Tadawul index closed 0.11 per cent higher at 6,227.03. Saudi Tadawul’s has a strong support at the lower end at 6,065, said Prakash.

Qatar exchange index closed 0.77 per cent lower at 11,320.39. Kuwait Stock Exchange general index closed 0.03 per cent lower at 5,471.88. In the wider Middle East, the Egyptian EGX 30 index closed 0.36 per cent lower at 8,317.17.