Bullish Signals: IHSG Poised to Continue Rally on Thursday, Check Out Analysts' Stock Recommendations
JAKARTA, KOMPAS.com - The Composite Stock Price Index (IHSG) is poised to continue strengthening in Thursday’s trading (26/3/2026), after the index rose 2.75 per cent to 7,302.121 at the close of Wednesday’s session.
Capital market observer and Founder of Republik Investor, Hendra Wardana, notes that the IHSG has the potential to strengthen by testing the 7,339 area, with resistance at the 7,400 position.
If the index manages to break through that area with increased volume, there is a chance the IHSG could move towards the 7,450-7,500 area in the short term. However, if it fails to break 7,400, the index could first consolidate in the 7,200-7,400 range.
“However, if it fails to break 7,400, the IHSG could first move into consolidation in the 7,200-7,400 range,” Hendra said when contacted by Kompas.com on Wednesday evening (25/3/2026).
The majority of Asian exchanges moving in the green zone serves as the primary external catalyst. Meanwhile, the return of foreign funds, although not yet substantial, also supports the index’s strengthening. This condition provides an initial signal that investor interest in risk assets is beginning to reform, though not yet fully solid.
“The strengthening of most Asian exchanges serves as a positive catalyst, coupled with the continued inflow of foreign funds, albeit in amounts that are not yet very large,” he explained.
Domestically, the discourse on trimming the budget for the Free Nutritious Meals (MBG) programme is seen as a positive sentiment, reflecting the government’s commitment to maintaining fiscal discipline.
Fiscal stability is crucial to dampen concerns over widening the state budget deficit, while also safeguarding the rupiah exchange rate, bond yields, and Indonesia’s credit rating.
On the other hand, rising gold prices and weakening global oil prices indicate that global risk-on sentiment has not yet formed strongly.
Hendra states that this condition makes foreign fund flows to emerging markets, including Indonesia, still selective in nature. Therefore, in the short term, IHSG movements will be heavily influenced by rupiah dynamics and the intensity of foreign capital inflows.
“Amid the IHSG’s strengthening, the rupiah exchange rate still hovering around Rp16,900 per US dollar shows that external pressures have not fully dissipated. The rise in gold prices and the decline in global oil prices also reflect that global markets are still in a phase of risk-on sentiment that is not yet fully strong,” he emphasised.