Invest Data Consulting Ltd

The four trading sessions on the Nigerian Stock Exchange over the past week was dynamic in terms of volumes and price movement as the indicators closed higher. This was a continuation of a bullish transition that started in the last week of April, as investors' demand for equities remained high on the heels of the imminent economic recovery and expectation of improved corporate earnings that will influence prices and payout at the end of the year. In any market situation or cycle, there are key factors or signs associated and help to identify them, which also guide traders and investors in the market to know where the trend is heading. As generally agreed, the price an investor is willing to pay today is based on his/her expectation from the stock in future. The bullish and bearish market is therefore a function of investor sentiments. During a bull market, many investors miss the fact that stocks move on the gap between sentiments based expectations and reality.When inv...

As the month of May ended last week, volume of trades was significantly up, reflecting the inflow from other investment windows to the equity market in search of juicier returns, as demand for stocks increased against the backdrop of factors such as the improving economic data, liquidity in the forex market and others like the market being in recovery mode, all of which pushed the Nigerian Stock Exchange (NSE) benchmark All-Share index to its 52-week high. There was also the last Purchasing Managers Index (PMI), which dropped to 54% from 58% at the end of April, signaling a reduced but yet high productivity level in the real/manufacturing sector, added to the gradual decline in inflation rate, relative stability in the exchange rate and the 0.52% negative growth in the nation’s Q1 2017 GDP to -0.52%, a sign that its economy is gradually going out of recession, among others. However, the ongoing political drama delaying the signing of the 2017 budget into law, weeks aft...