Regional influx of funds, money smaller effect, strong GDP growth plus within expectation bluechip quarterly result. KLCI is expecting to push towards 1900. We believe it will require few attempts before breaking decisively and stay above 1900. However, persisted foreign buying even at 1880 level create support at high side.
We are not so bullish but many times the market may not be rational. We don’t think we need to leave the market as we should let our fund continue to growth. However we will become more selective and reduce fresh buying at this level. Unless individual stock perform well in their quarterly result.