Trading remains flat on DFM and ADX

Dubai Financial Market (DFM) snapped Monday’s rally as it dipped 5.13 points (0.34 per cent) to close below the 1500-mark before settling at 1,496.12 at the end of trading on Tuesday. The market showed signs of an upward movement in the early hours of trading, but selling pressures in the afternoon session pared earlier gains. Finance, insurance, telecom and utilities sectors were the gainers on Tuesday, while banks, real estate, and transportation sectors pulled the index down. Trading volumes rose from Monday’s 58 million to above 67 million on Tuesday. However, the value of shares traded declined from yesterday’s Dh75m to around Dh61m in Tuesday’s trading. “Markets as usual were almost flat on lower volumes and there was hardly any significant move seen on liquid stocks. The sideways range still remains intact from the supports of 1490 until the resistance levels of 1530 on the daily chart,” Shiv Prakash, Senior Technical Analyst at MAC Capital Advisors said. For fresh buying one must wait for a clear reversal from lower support levels with an increase in volumes. Long-term investors can pick some growth stocks like Aramex and Air Arabia on dips, he said. Abu Dhabi Securities Exchange (ADX) also lost 2.83 points to close at 2508.62. Energy and real estate sectors were the gainers on Tuesday’s trading. Total trading volume declined from Monday’s 71 million to around 46 million, equalling shares worth Dh97m, down from Monday’s Dh169m.