By: Mahmoud Gamal
Dubai – Mubasher: Analysts said that the UAE markets' stability relies on long-term institutional investments seeking to benefit from the prices of the big companies' stocks.
Purchases of investment portfolios in the Dubai Financial Market (DFM) reached AED 143.8 million last week, while foreign investments recorded AED 62.94 million, as per the markets’ websites.
Technical analyst Amer Al Mohanady said that Arab and locals in the UAE markets are trying to push to decrease the stock prices before repurchasing them, after the selling pace picked up, coinciding with Arabtec’s announcement of its negative results.
GCC investors tended to sell with a net of AED 62.92 million.
Al Mohanady added that the purchasing orders done on the transport stocks by foreign traders showed the willingness of some portfolios to keep the stocks, despite the decline of the UAE indices last week.
Moreover, technical analyst Doaa Farouq said trades in the UAE markets still follow the speculative trend which targets a number of shares that reached lower levels.
The analyst stressed the fact that some rebounds are expected to be seen this week, which does not indicate an exit from the descending trend.
Farouq noted that the markets may stay on this fluctuating approach until oil exceeds levels of $55.
