Daily Strategy: FSS Recommends Buy-on-Weakness, Seeing Fed’s Surprise to Buoy Markets

Major stock markets in Asia traded in a mixed session on Friday as investors try to bounce back from yesterday’s selloff.


As of 10:20 local time in Thailand, Nikkei dipped 0.25%, SSEC slipped 0.13%, Hang Seng Index fell 0.35%, ASX 200 gained 0.60%, IDX Composite increased 0.63%.

Thailand’s SET Index opened at 1,684.82 points, increased 2.41 points or 0.14%.


Oil prices closed slightly lower on Thursday as investors continued to monitor the development of oil sanctions from western countries on Russia as Europe still kept Russia oil running.

International benchmark Brent crude closed 0.50% lower at $100.58 a barrel, while the West Texas Intermediate settled 0.60% lower at $96.03 per barrel.


Mr. Kantara Ladawan na Ayutthaya, executive director of Finansia Syrus Securities (FSS), through “Kaohoon Jor Talad Program” on April 8, 2022, stated that he expected the Thai stock market to move narrowly and possibly slightly positive, seeing a selloff from local institutions and foreign investors yesterday.

As for next week, Mr. Ladawan recommended investors to monitor inflation reports next week, especially the U.S., China, and the UK.

Meanwhile, analysts and economists are anticipating Fed’s aggression on policy rates that could have a 0.50pp increase in every remaining meeting this year. However, Mr. Ladawan stated that if there is a surprise of once or twice 0.25pp hike, it could be a driver for the stock market.

For investment strategy, Mr. Ladawan noted that if the Thai stock market could not surpass the resistance level at 1,700 points, he recommended investors to accumulate stocks on weakness, giving a support level at 1,665 points and the next level at 1,620-1,615 points.