KUALA LUMPUR (Aug 11): The FBM KLCI has risen 4.16 points or 0.26% at midday break today, supported by glove and Genting-related counters.

At 12.30pm, the benchmark index was up at 1,575.82 points. The FBM KLCI has remained in the positive territory since it opened at 1,580.17 points today.

Malacca Securities Sdn Bhd head of research Loui Low told theedgemarkets.com that glove, Genting-related and selected banking stocks are leading the FBM KLCI higher.

“We believe the FBM KLCI is likely to be supported over the near term as there aren't many downside risk catalysts that may trigger further selling pressure unless weaker-than-expected earnings are released during August reporting season,” said Low.

Among the blue chips, the biggest gainer is Genting Malaysia Bhd (GenM), followed by Top Glove Corp Bhd. GenM rose six sen or 2.69% to RM2.29, while Top Glove grew 50 sen or 1.84% to RM27.70.

TA Securities Holdings Bhd technical analyst Stephen Soo, in a note today, said the local market is likely to stay strong with rotational buying interest in the rubber glove, healthcare and technology-related small caps and ACE Market stocks highlighting trading sentiment.

“Key uptrend support for the index remains the 50-day moving average level at 1,554, with the 200-day moving average at 1,511 and 1,500 acting as stronger support platforms.

“Immediate resistance is lowered to 1,590, with 1,600, followed by the recent peak of 1,618, with next hurdle at 1,650, and then 1,680, which is the 123.6% Fibonacci Projection level,” he wrote.

As Bursa volume has been making new highs in the recent months, Low believes that the heavy volume may sustain for the near term as retailers are focusing on penny stocks for now.

Already, the volume at midday break today is more than half of Bursa’s all-time high of 26.65 billion seen last Friday.

At noon break, Bursa Malaysia saw 16.73 billion shares, worth RM4.42 billion, traded. Gainers led losers by 581 to 514, while 349 counters remained unchanged.

Across Asia, at the time of writing, Japan's Nikkei 225 rose 1.8%, South Korea's Kospi grew 1.52% while Hong Kong’s Hang Seng was up 2.4%.