Riding on the wings of highly capitalized equities, trading activities on the floor of The Nigerian Stock Exchange added 185Bpts and closed at 37,365.91 from 36,688.75. All observed market indices tread the lead indicator’s path as shown in the index movement table. The just concluded week added 180Bpts to market trading points while total points added so far in November is now 187Bpts.
Value gained by the market capitalization of the listed equities during today’s trading activities was N235.755 billion, same as 185Bpts above the opening value. Meanwhile, trading activities for the day produced 19 advancers and 13 lagers. NSEASI Year to Date gain is now 39.04% while the Market Capitalization Year to Date gain stood at N3.762 trillion same as 40.69% above the year’s opening value.
Although today’s bullish move was chiefly enhanced by the highly capitalized equities, it finally agreed with our expectation of sustainability of market recovery. The move was a big blow to the posing resistance as it confidently broke out of its grip with a full blown candlestick.
In our opinion, all traces of seemingly treats to market recovery may have been fully erased and traders are now responding to the nation’s improved economic indicators. Government efforts to improve the global ease of doing business along with the fairly stable translational rate should further enhance investments for rest of the year.
Please note that, aside the bright economic indicators recently ruling the market, other factors that will determine market direction for the rest of the year include the yuletide and accounts round ups of equities with December financial year end. On the strength of the above, we are of the opinion that traders should opt for bullish side from the next trading day. Safe Trade.
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