Volatility, Profit Taking, As Investors Reposition In Value Stocks Ahead Full-Year, Q3 Numbers
Market Update for February 5 Nigeria’s stock market on Monday had another volatile trading session to kick start the first full week of February negative. The session started out with a little gap down at the opening, and pulled back to recent key support, forming a hanging man candlestick pattern that signaled reversal but on a low volume after the previous day’s up market, on a declining volume to indicate a weak rally. As things are now, Investdata urges everyone- investors and traders to keenly observe Tuesday’s session to confirm direction before going short, especially against the backdrop of the correction mode of international stock markets that was long expected due to over valuation and weak earnings. This, we recall, had made many international fund managers increase their positions in emerging and frontier markets like Nigeria’s. U.S. stocks took a deep plunge, the most in 6 1/2 years, with the Dow Jones Industrial Average shedding over 1,100 points, amidst feve...