MARKET UPDATE FOR SEPTEMBER 21, 2017
The nation’s stock market on Thursday was highly volatile
to close lower on improved technical indicators that are yet to confirm
direction as market sentiment remained mixed as shown by the volume
index of 1.70, with buying position of 21%, and 79% selling volume of the day’s
transaction to halt the previous day up market.
The index had an oscillating session with little growth
as the trading opened, then a sharp rally in the midday to intraday high
of 35,411.85 from the day low of 35,128.03, but then pulled back in the
afternoon to finish slightly negative for the day on a very high volume with
first positive market breadth in the five trading sessions.
This high volume was driven by transaction in Guaranty
Trust Bank with 171.82 million shares valued at N6.70 billion to close at
N38.95.
Just as we mentioned in our update yesterday,
the market breadth turned positive to strengthen market technicals with
high volume but yet to confirm reversal trend as sentiments are mixed ahead of
MPC meeting decision next week, month end window dressing by fund managers
and Q3 earnings season that usher in the last
quarter of the year.
It is expected that speculators would return to the
market to trade the earnings season which is likely to
support uptrend reversal in no a distant time. If the
monetary and fiscal authorities would take actions that would sustain this
fragile economic growth recorded in Q2.
Meanwhile, the composite Index NSEASI shed 18.92 basis points to close at 35,188.97 from the 35,207.89 points opening level which represented a 0.05% decline, just as the market capitalisation for the day dropped by N6.53 billion to close at N12.13 trillion, from the previous session’s value of N12.14 trillion, representing a 0.05% depreciation in investors portfolios.
Downturn suffered in the share prices
of Total Nigeria, Dangote Cement, Dangote Sugar, Oando, Dangote
Flour, Access Bank, Flourmills, Okomu Oil and Zenith Bank, reduced the All-Share
Index’s year-to-date return to 30.95%, just as the market capitalisation
year-to-date gain stood at N2.88 trillion, representing 31.18% above the year’s
opening value.
Market breadth for the day was positive as the number of advancers outnumbered decliners in the ratio of 25:20 on a very high volume traded that was higher than the previous day’s level to halt the one day bull market.
Market activities in terms of volume and value were up by
212.59% and 665.42% respectively with an exchange of 429.22 million shares
worth N8.68 billion, as against the previous day’s 137.35 million units valued
at N1.13 billion recorded in the previous session.
Transactions in the shares of Guaranty Trust Bank, Access
Bank, JaizBank, FCMB and Zenith Bank topped the volume chart. At the
close of the day’s trading session, Neimeth topped the advancers’
log with a 4.97% gain to close at N0.64 per share on market
forces, followed by NEM Insurance with a 4.46% notch at N1.17
per share on Q3 earnings expectation.
On the flipside, Aiico Insurance lost 5.36% to close
at N0.53 on market forces, followed by Champion Breweries, which shed 5.35% to
close at N2.30 per unit on market forces.
TODAY’S OUTLOOK
Technically, market is still searching for direction,
despite the improved technicals yesterday until a breakout of the downtrend
line, which confirms recovery.
The volatility in the market is expected to continue as
trading opens this morning, amidst profit taking and repositioning ahead
of MPC decision next week, September month end, Q3 earnings season
and year-end activities. We expect the Nigerian government to review its 2017
budget implementation strategy and put in place some fiscal measures that would
help the monetary authorities sustain the ongoing economic recovery as shown by
the positive but fragile GDP to further help to drive inflation numbers down
faster than the August level to make growth and development a reality.
Investdata believes the time has come for the Federal Government to stop telling Nigerians and foreign investors’ stories that seem different from the reality on ground. Government should work towards improving the living conditions of the citizenry with the right infrastructure to enhance economic development.
It is time to work the talk, and begin to stimulate the
economy, despite the delay so far. However, investors need not panic if they
take position based on strong numbers and future prospects of any stock.
One thing that is clear in the current market situation
is that smart investors are using the ongoing correction to accumulate and
enhance their positions in some stocks.
Again, we advise that investors allow numbers to guide
their decisions while repositioning for the rest of the year trading
activities, especially now that prices of stocks are looking down amidst
improving economic and market fundamentals.
It is time to use your technical tools to take decision
by knowing the support and resistant level to reposition or exit any
position.
Meanwhile, Plan to attend the Independent Day Free
Investment Education Summit jointly organised by APT Securities & Funds
Ltd/Investdata Consulting Ltd, because real independent is financial freedom.
Theme: PROFITABLE STOCK MARKET TRADING STRATEGIES FOR FINANCIAL INDEPENDENCE AND FREEDOM
Have you traded the stock market before and failed? It is
a known fact that about 90% of people who trade without knowledge and
understanding of the dynamics will end up losing 90% of their capital most of
the time.
You don’t have to be one of them. Therefore, when
you attend this Independent Day Free Investment Education Summit this seminar
and learn how to trade such that you could be one of the lucky 10%, who manage
to consistently play the market profitable by themselves through our online
portal from your phone and laptop anywhere in the world. Consistency is the key
to equity trading and investing successfully.
At APT Securities and InvestData we have been teaching
investors simple and proven strategies which when implemented makes you a
successful trader and investor in any market conduction, especially when it
comes to equipping them well enough to know how to protect their portfolios and
profit from market correction in a recovering economy and market.
We have also, over time, focused attention on attuning
the mindset of investors and traders to managing risk, while eliminating
emotions when trading so as to avoid irrational investment decisions.
Attend the Independent Day Free Investment Education
Summit and our team of expert and time-tested resource persons will show you
how you too can successfully and confidently trade and invest in stocks
profitably on your own from your phone, laptop and/or desktop computer.
The
workshop holds on:
DATE:
October 2. 2017
TIME: 10am
– 2.00pm
VENUE:
Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant,
CBD, Alausa, Ikeja. Lagos.
What you will learn at this the Independent Day free
workshop:
1. The fundamentals of stock trading and investing
2. Trading and investing strategies that will help you
manage your risk, protect your capital and profit from market correction.
3. How to trade on your own online, using the APT eTrade
platform on your phone and laptop.
4. The psychology of trading and investing and how it
will make you successful.
Registration
is free
There
will be sales of stock trading and investing materials for further
understanding at the end of the workshop, Fundamental and Technical Analysis
materials, including home study packs you can play and viewed on
your phone, laptop and television set, all at 20% discount for attending. You
need to prepare yourself and profit from the market and the recovery economy to
truly achieve your financial independence and freedom.
For more
enquiries about the programme, please call 08028164085, 08034053018 and
08111811223
Ambrose Omordion
CRO | Investdata Consulting Ltd
ambrose.o@investdataonline.com
Tel: 08028164085, 08032055467
Comments
Post a Comment