By: Mahmoud Gamal
Dubai-Mubasher: The UAE stock markets are in a dire need for new liquidity inflows to be able to break their important resistance levels at which they stand, analysts told Mubasher.
The markets need influx of new capital to reverse their downtrend, capital market analyst Mohamed Al Harbi confirmed.
Al Harbi advised traders to speculate cautiously and activate stop-loss orders, or wait till the markets confirm their uptrend to be able to build new positions.
The markets’ liquidity is improving, yet at a slow pace, as local investors are cautious over the remaining second-quarter financial announcements, capital market analyst Fahad Al Shayee noted.
On another note, capital market analyst Mohammed Al Shammari said that weak liquidity makes the markets prone to the control of speculations.
Despite volatility of the UAE indexes, some foreign investors intend to increase their positions till the period of financial disclosures ends, Al Shammari said.
