Phintraco Sekuritas forecasts that the Indonesia Composite Stock Index (IHSG) will test its support level at 6,770 on Friday (May 9, 2025). For today’s trading session, IHSG is expected to move within a resistance range of 6,900, a pivot point of 6,850, and a support level of 6,770.

Phintraco Sekuritas recommends five stocks with promising profit opportunities, with ICBP being one of them.

Phintraco explains that alongside a sharp 1.42% drop in IHSG on Thursday (May 8, 2025), the Stochastic RSI indicator has begun to decline from the overbought zone. “This condition is likely to continue, and IHSG has a potential to test the support range near 6,770 today,” Phintraco Sekuritas wrote in its research report on Friday (May 9, 2025).

Domestically, Phintraco points out that market participants are reacting to the decrease in Indonesia’s foreign exchange reserves, which fell to US$152.5 billion in April 2025 from US$157.1 billion in March. “This marks the lowest level since November 2024,” Phintraco added.

Despite the drop, the current level of reserves remains sufficient to cover 6.4 months of imports or 6.2 months of imports and government external debt payments—well above the international adequacy standard of 3 months of imports.

Profit Taking

Earlier, the slowing of Indonesia’s economic growth to 4.87% in Q1 2025 also became a valid reason for investors to engage in profit-taking activities. Another contributing factor was the sharp pullback in ANTM stock by 5.09%, along with declines in several other gold-related stocks that had been driving IHSG’s previous rally.

“This pullback is expected to persist in the coming days, in line with the market’s declining appetite for safe haven assets following the announcement of trade agreements,” explained Phintraco Sekuritas.

As a result, Phintraco recommends investors focus on five stocks for potential gains: ICBP, AALI, ASII, PTBA, and INDF.