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Analysts foresee a quiet week ahead for Indonesian stocks as investors are expected to book profits after weeks of gains.

“For this week, the market will go sideways, but given the [Jakarta Composite Index is] already at a high level, a negative factor could cause a big correction this week,” said Mohammad Alfatih, an analyst at PT Bank Negara Indonesia Securities.

The benchmark index gained 1.3 percent last week to 2,647.10, hitting a 22-month high after its third-straight weekly advance. However, profit-taking dominated Friday’s trading as investors booked gains, resulting in a 0.1 percent rise.

Alfatih said regional markets may trend downward this week after Wall Street slipped 100 points, or 1 percent, on Friday following JP Morgan Chase’s earnings report. The bank doubled 2009 profit from the year earlier but said consumer loan losses remained high, putting the US recovery in question.

Purwoko Sartono, an analyst at PT Panin Sekuritas, said investors here would consolidate gains this week as the appetite for buying is ebbing after the long rally.

“Early this week, JCI will likely fluctuate with continued profit-taking but selective buying will continue in the midterm,” he said, noting that the country’s bright economic prospects would drive shares higher this year.

Lacking clear direction, investors may opt for a wait-and-see stance, driving down trading volume this week, Alfatih added.