Nigerian Market Outlook: Where To Invest Ahead Of Santa Claus, Year-End Rallies



The global economy recorded stronger recovery and growth in recent times as revealed by the piles of positive data emanating from the developed world in the form of stronger GDP numbers, especially the rise in commodity prices, particularly crude oil. Despite these, uncertainties are mounting high with the recent North Korea missile attack on the U.S. border and geo-political issues that remain a cause for concern among investors. Economic risk of rate hike in the amidst economic growth as Q3 GDP and other data continue to push stock markets up, despite the long expected correction due to over- valuation.

Back home, Investdata sees the possibility of the Nigerian market breaking out of the recent resistance level is high with the trend ability and momentum that rebounded after Moody’s downgrade and MSCI reshuffling induced pullbacks. This is due to end of year expectations that triggered demand for stocks on the strength of stronger corporate earnings and stronger inflows as positive macro-economic data confirmed that the economy is on the growth path, notwithstanding the fact that it is slow at 1.4% as shown in the Q3 GDP figure released by the National Bureau of Statistics (NBS).

In the new month, Investdata expects inflation for the month of November to continue its gradual downward movement; just as the PMI has further improved to support recovery in the manufacturing sector given that Q3 numbers from the sector beat market and analysts’ expectations.
With only few quarterly earnings expected in this month and new trading pattern unfold as a result of seasonal changes, investors and traders are expected to reposition and balance their portfolios ahead of full year earnings in 2018, based on their interpretation of the scorecards and changes that will keep the market oscillating.

The Q3 numbers had revealed the financial position and health of the companies and indeed the market, while the low valued stocks with high upside potentials should be the target of investors. The strong intrinsic value remains a plus and should guide investors to know where to look while seeking to invest profitably for the remaining days of the year and beyond.
Traders and investors who understand the importance of combining fundaments and technical analysis in making investment decisions in the stock market should take this opportunity of any pullback in prices to position in some sectors for short, medium and long term gains, especially in the fast moving consumer goods, banking, agribusiness, building material and healthcare after carefully study of the recent price pattern and fundamental data available in the market.

What to expect in December
• The extension of the oil production cut to December 2018 is likely to have positive impact on crude oil price and influence government revenue positively, which may also attract more inflow in the economy in form of portfolio or direct investment that will support the market.

• Seasonal trending with few late filers of quarterly numbers expected, with no impact on the market. However, blue-chip companies will continue to oscillate on the strength of company and market fundamentals as repositioning and rebalancing stays till end of the year.

• The oscillating trend of equity prices as a result of repositioning of portfolio along the line of positive numbers by foreign and local investors will boost activities in the final month of the year.

• Market outlook for the new month remains mixed as few quarterly and no full year earnings are expected. But positive sentiments and strong momentum may not be out of place as the market expects the economic recovery to be strengthened with the last minute implementation of the 2017 budget.

• The relative low Price-to-Earnings ratio in the market may further attract demand for stocks. Investors must however invest wisely, using bids, offers and volume when taking decisions as a trader.

• Managing risk and protecting capital at this point is very important, so you will be able to determine when to buy or sell, by watching the stocks and the market, using technical analysis.

• Let numbers released by companies guide you decision and time to stay in that position.

To start your financial success journey in 2018 join us at INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT
Sub Topics

The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?

Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.

The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”

Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 – 2017 so far.

This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!
The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Payment made on or before December 1, 2017 attracts 10% discount. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.

To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send yes to 08032055467, 08111811223 or 08179547605

N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.

If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out
Best regards

Comments

Popular posts from this blog

Wherever You are NOW is Your Decision