Invest Data Consulting Ltd

MARKET UPDATE FOR DECEMBER 14, 2017 It was a difficult trading session on the Nigeria Stock Exchange on Thursday, as market indicators declined further on a highly volatile mode to consolidate the losing streak that almost wiped out all of the gains recorded month-to-date, due to massive profit taking in blue chip stocks that almost triggered panic among retail investors. Considering what the market had done in terms of performance year-to-date especially, profit taking is not unexpected also given that it is an integral aspect of stock trading and investing. Trading activities for the day started out with a little pop to the downside, reaching intraday lows of 37.840.14, breaking down the psychological line of 38,000 and strong support level of 38,241.45 from the day’s high of 38,539.91 on below recently traded market average volume.  The index had actually formed bear wedge, despite reducing the losing streak to close the day at 37,933.70 which was also lower than ...

AMIDST PORTFOLIO ADJUSTMENTS, INVESTORS, TRADERS TAKE PROFIT AHEAD OF SANTA CLAUS, YEAR-END RALLY Trading on the Nigerian Stock Exchange on Monday was an interesting, but mixed session after three straight day of a seeming bull transition as the week started on a negative note due to high selling pressure and low demand for stocks that was evident in the general financial market, with bonds closing on sell side and pushing yields marginally higher, while money market instruments like Treasury Billswere slightly bearish, due to tight liquidity amidst the sustained foreign exchange market intervention and sale of OMO by the Central Bank of Nigeria (CBN).  This circular flow of money is expected to continue in the financial market as capital looks for opportunity for better returns without losing sight of safety, with no major trigger for the equities’ market at a time the Q3 numbers are already available and the direction each company is tilted is known. More so, inv...

NSE INDICATORS SEEK DIRECTION, AS VOLATILITY, PORTFOLIO REBALANCING, PROFIT TAKING LINGER The stock market on Thursday was lower on a mixed session that was volatile as traders took profit from short positions in rebalancing their portfolios and positioning. The mixed sentiments followed the indifference among market players to the N8.6tr 2018 budget estimates submitted to the National Assembly and the downgrade of Nigeria’s sovereign rating by Moody’s. The seemingly weak speculation at this point should not shake you out of position as major factors to force prices to another lower lows are currently absent in the market except for market sentiment to different news or policy statements and action of the government or its agency. The smaller the range, the less the volume, the higher the possibility that the uptrend will continue since the recent strong resistance level have been broken, waiting for more volume for continuation of uptrend. The retention of Nigeria in the MSCI ...

INDICATORS FLAT, AMIDST REBALANCING  INDUCED VOLATILITY, HOPE FOR BETTER ECONOMIC DATA Nigeria’s stock market on Thursday had a mixed session to continue its volatility as it struggled to breakout the recent resistance level where it formed a double top as mentioned in our previous day’s review, but on intraday movement. It mildly broke out the level by touching a high of 36,912.54 before slightly closing below the level on a high volume as big cap stocks like Nigerian Breweries, Zenith Bank, Dangote Cement, as well as Unilever, PZ and International Brewery shed value amidst profit taking by traders from three trading sessions of bull-run to narrowly close lower on a positive market technicals.  The index started out the day with a move down just after the opening bells, and then rebounded between midday and mid afternoon session, only to rollover in the last minutes as the blue chips listed above were negative. The index was negative by about 10.05 points. It w...

NOVEMBER TRADING BEGINS POSITIVE ON NSE, AMIDST LINGERING VOLATILITY The first trading day of the eleventh month of year was highly volatile but positive to close the session higher, consolidating a bull transition that is driven by earnings performance that released at the last minutes to the market in compliance with regulatory requirements of the Nigerian Stock Exchange (NSE). Despite the mixed numbers all the key market performance indices were on the rise over the last three trading sessions on high buying pressure, irrespective of profit taking that continued on daily basis. The day started out on slight decline that lingered to midday, reaching a low of 36,427.31 basis points before rallying back by afternoon to touch an intraday high of 36,888.04 which had been the resistant level in recent times, forming a double top that suggests pullback at this point or a break out, depending on market forces and sentiment as players- both local and international continue to ...