FeaturedMarket Update

Market Maintains Marginal Move, on Expectations of Key Economic Indices: Wednesday,14th July, 2021

 

Market Brief

In a mild positive move, equities trading on the floor of the Nigerian Stock Exchange ended in the positive territory, as the lead performance pointer, NSEASI added 4Bpt, and closed at 37,872.55 from 37,857.24. It was a mixed performance amongst the observed marker indices in this report as shown in the index movement table. Thus, WtD, the lead index is 32Bpts below opening, while the total lost points in the month of July is now 9Bpts. See the index movement table for details.

Fundamental View

As the market ride further into the third quarter of the year, while preparing for the half year earnings numbers, sentiments around the market remained mixed. Please note that the National Bureau of Statistics is expected to release the headline inflation figure for the month of June within this week, according to NBS, Consumer Price Index (CPI) and Inflation figures should be expected on Thursday 15th July, 2021. Similarly, the 136th MPC Meeting shall come up between 24th & 25th July. As noted in our previous reports, reactions to the Headline Inflation within the stock market will be mild, while traders will slow down next week for MPC Meeting. Should we go by the numbers release by equities with March accounts, one can safely predict/expect more positive half year earnings; nevertheless, global economy remained mixed due to varying response to third phase of Covid-19 spread, although the trend is mild in the local environment. We maintained a cautious play around the market.

Technical View

After today’s trade, the market entered into the second flat day, as trading pattern on NGXASI entered a sideway pattern. Between May and now, the trading pattern on the Lead index had consistently recorded a steady lower high and lower lows, this is a bearish pattern. Meanwhile, should the market successfully achieved the ongoing recovery attempt at its present point, it will mean its first signal to end the consistent downtrend. This is because the recovery happened before the last low, which is a sign the downtrend had ended and a new trend is about to be initiated.

RSI currently trends between point 30 and 50 mid-point line, but a turn was observed towards the 50-mid-point line. There is no divergence between RSI and price, meanwhile, our RSI Cross Over is a Sell, since the faster RSI had just crossed the slow RSI.

Similarly, there is no divergence between the Money Flow Index and Price, and MFI is currently flowing down implying exits of funds from the market. MACD had since 5th July crossed its signal line from the bottom, and has maintained that position till date, although the relationship between MACD and the signal line is a very close one.

Index Movements

 

The total value gained by the Market Capitalization of the listed equities during today’s trading activities was N7.974 billion, same as 4Bpts below the opening value. Meanwhile, trading activities for the day produced 18 ADVANCERS and 11 LAGERS. NSEASI Year to Date loss is now 596Bpts while the Market Capitalization Year to Date loss stood at N1.324 trillion same as 629Bpts below the year’s opening value.

Gainers & Losers

Leading on the advancers’ log is Cap-Hotel with 10.00% gain above its previous close point, thus it rounded up at N2.64 from N2.40. NCR followed with 9.89% gain to round up trade at N3.00 from N2.73. Unity Bank, Total and FTNCocoa completed the top 5 price percentage gainers log with 6.78%, 6.06% and 5.13% respectively.

On the flip side, Linkage Assurance led with 5.41% loss, as it rounded up trade at N0.70 from N0.74. Cornerstone Insurance followed closely with 5.36% loss to close at N0.53 from N0.56. Oando, CHIPLC and Access Bank completed the top 5 price percentage losers’ log with 4.14%, 2.86% and 2.17% respectively.

Top 5 Trades

Investors did a total of 378 deals on the shares of Zenith Bank, while a total of 283 transactions were made on GTCO shares through today’s trading session. Access Bank was next on the top 5 list with 241 transactions, while UBA and UPDC completed the top five (5) trades for the day, as shown in the below table.

Top 5 Performances by Volume

Traders traded 35.92 million units of UBA through the day’s trade. Access Bank followed on the most traded by volume with 28.64 million shares. Zenith Bank, UPDC and GTCO completed the top 5 most traded shares for the day.

Top 5 Performances by Value

The Value of the shares traded on Zenith Bank (N424.69 million) was the highest for the day, followed by MTNN where investors exchange N332.87 million worth of shares. GTCO, UBA and Access Bank completed the list as shown in the above table.

NASD OTC Brief

Over the Counter (OTC) Market Index closed in the red by giving up 0.12% to close the day’s trade at 761.44, while the market Capitalisation rounded up in the positive territory as it gained 22.18%  and close at 661.82 billion. Today’s performance produced zero (0) advancers, and one (1) decliner. Kindly view today’s price list Here.

Crude Oil Price Movement

As at the time this report was gathered, Brent Crude sells at 74.35$/bbl, this is 55Bpts below the last close price.

FMDQ-OTC Market Brief

The I&E FX Window opened at N411.21 traded as high as N412.30 before rounding up at N411.22, having transacted a total of $213.99 million through the day. Please note that, margin between the close and open value is 13Bpts down. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-Rates.

In the money market, the Overnight (O/N) rate closed at 14.50%, same as 4.50% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate as at ended at 14.00% that is 4.50% below the previous close. Safe Trade.

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FeaturedMarket Update

Market Maintains Marginal Move, on Expectations of Key Economic Indices: Wednesday,14th July, 2021

 

Market Brief

In a mild positive move, equities trading on the floor of the Nigerian Stock Exchange ended in the positive territory, as the lead performance pointer, NSEASI added 4Bpt, and closed at 37,872.55 from 37,857.24. It was a mixed performance amongst the observed marker indices in this report as shown in the index movement table. Thus, WtD, the lead index is 32Bpts below opening, while the total lost points in the month of July is now 9Bpts. See the index movement table for details.

Fundamental View

As the market ride further into the third quarter of the year, while preparing for the half year earnings numbers, sentiments around the market remained mixed. Please note that the National Bureau of Statistics is expected to release the headline inflation figure for the month of June within this week, according to NBS, Consumer Price Index (CPI) and Inflation figures should be expected on Thursday 15th July, 2021. Similarly, the 136th MPC Meeting shall come up between 24th & 25th July. As noted in our previous reports, reactions to the Headline Inflation within the stock market will be mild, while traders will slow down next week for MPC Meeting. Should we go by the numbers release by equities with March accounts, one can safely predict/expect more positive half year earnings; nevertheless, global economy remained mixed due to varying response to third phase of Covid-19 spread, although the trend is mild in the local environment. We maintained a cautious play around the market.

Technical View

After today’s trade, the market entered into the second flat day, as trading pattern on NGXASI entered a sideway pattern. Between May and now, the trading pattern on the Lead index had consistently recorded a steady lower high and lower lows, this is a bearish pattern. Meanwhile, should the market successfully achieved the ongoing recovery attempt at its present point, it will mean its first signal to end the consistent downtrend. This is because the recovery happened before the last low, which is a sign the downtrend had ended and a new trend is about to be initiated.

RSI currently trends between point 30 and 50 mid-point line, but a turn was observed towards the 50-mid-point line. There is no divergence between RSI and price, meanwhile, our RSI Cross Over is a Sell, since the faster RSI had just crossed the slow RSI.

Similarly, there is no divergence between the Money Flow Index and Price, and MFI is currently flowing down implying exits of funds from the market. MACD had since 5th July crossed its signal line from the bottom, and has maintained that position till date, although the relationship between MACD and the signal line is a very close one.

Index Movements

 

The total value gained by the Market Capitalization of the listed equities during today’s trading activities was N7.974 billion, same as 4Bpts below the opening value. Meanwhile, trading activities for the day produced 18 ADVANCERS and 11 LAGERS. NSEASI Year to Date loss is now 596Bpts while the Market Capitalization Year to Date loss stood at N1.324 trillion same as 629Bpts below the year’s opening value.

Gainers & Losers

Leading on the advancers’ log is Cap-Hotel with 10.00% gain above its previous close point, thus it rounded up at N2.64 from N2.40. NCR followed with 9.89% gain to round up trade at N3.00 from N2.73. Unity Bank, Total and FTNCocoa completed the top 5 price percentage gainers log with 6.78%, 6.06% and 5.13% respectively.

On the flip side, Linkage Assurance led with 5.41% loss, as it rounded up trade at N0.70 from N0.74. Cornerstone Insurance followed closely with 5.36% loss to close at N0.53 from N0.56. Oando, CHIPLC and Access Bank completed the top 5 price percentage losers’ log with 4.14%, 2.86% and 2.17% respectively.

Top 5 Trades

Investors did a total of 378 deals on the shares of Zenith Bank, while a total of 283 transactions were made on GTCO shares through today’s trading session. Access Bank was next on the top 5 list with 241 transactions, while UBA and UPDC completed the top five (5) trades for the day, as shown in the below table.

Top 5 Performances by Volume

Traders traded 35.92 million units of UBA through the day’s trade. Access Bank followed on the most traded by volume with 28.64 million shares. Zenith Bank, UPDC and GTCO completed the top 5 most traded shares for the day.

Top 5 Performances by Value

The Value of the shares traded on Zenith Bank (N424.69 million) was the highest for the day, followed by MTNN where investors exchange N332.87 million worth of shares. GTCO, UBA and Access Bank completed the list as shown in the above table.

NASD OTC Brief

Over the Counter (OTC) Market Index closed in the red by giving up 0.12% to close the day’s trade at 761.44, while the market Capitalisation rounded up in the positive territory as it gained 22.18%  and close at 661.82 billion. Today’s performance produced zero (0) advancers, and one (1) decliner. Kindly view today’s price list Here.

Crude Oil Price Movement

As at the time this report was gathered, Brent Crude sells at 74.35$/bbl, this is 55Bpts below the last close price.

FMDQ-OTC Market Brief

The I&E FX Window opened at N411.21 traded as high as N412.30 before rounding up at N411.22, having transacted a total of $213.99 million through the day. Please note that, margin between the close and open value is 13Bpts down. We are of the opinion that the FX-Market will trade within same range tomorrow. See below table for Lagos BDC Fx-Rates.

In the money market, the Overnight (O/N) rate closed at 14.50%, same as 4.50% below the previous closing position. Meanwhile, Open Buy-Back (OBB) rate as at ended at 14.00% that is 4.50% below the previous close. Safe Trade.

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