MARKET UPDATE FOR WEEK ENDED SEPT 22 AND OUTLOOK FOR 25-29, 2017
EQUITY INVESTORS LOOK TO MPC OUTCOME AHEAD OF MONTH, YEAR-END PORTFOLIO REBALANCING Trading activities on the Nigerian Stock Exchange in the past week remained highly volatile and mixed but closed higher on improved technicals that supported Friday’s breakout of the downtrend line to confirm the very short term rally that would continue this week, depending however on the outcome of the two-day meeting of the Central Bank of Nigeria (CBN) Monetary Policy Committee (MPC) which ends on Tuesday. The index on a weekly time frame is still relatively weak since it is still trading below its downtrend line, but signaled a breakout on improved volume that indicates increasing buying pressure ahead of third quarter’s end and Q3 earnings season in October, which also would indicate how traders are repositioning for end of the year trading activities. The improvement in market breadth after turning positive in the last two trading session has strengthened market technicals with...