Indonesia's stock market is expected to trade slightly lower in the coming week on continued profit taking, analysts said Friday. "The market is already overbought. I expect there will be selling pressure next week but not major," said a dealer with a local brokerage.
Investors are also wary about planned massive protests to mark Labour Day on Monday.
Police said on Friday that up to 50,000 workers were expected to turn up for May Day for rallies on Monday. The dealer said however foreign investors were likely to maintain their positions next week.
"They will help stabilise the market," he said. He added that mining stocks would remain attractive. Ruddy Raharjo, an analyst with Batavia Prosperindo Sekuritas, said he did not expect a sharp fall next week.
"Unless something significant happens, the market will remain in the range of 1,400-1,500," he said. Breaching the resistance level of 1,500 would be difficult as by then many stocks, in particular banks, would have become too expensive, he said.
For the trading week ended April 28, the Jakarta Stock Exchange index rose 5.118 points, or 0.4 percent, to finish at 1,464.406. Daily average volume totalled 2.6 billion shares valued at 2.4 trillion rupiah (272.7 million dollars).
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