Market Update

Nigerian Equities Market Update: Market Cap YtD Turns Green as Market Records 128Bpts Gain

Aggressively recovering lost points suffered so far in 2017, the lead activities index of The Nigerian Stock Exchange posted another 128Bpts gain as it closed today’s trade at 26,756.21 point. Noteworthy is the fact that, the Market Capitalization of the listed equities today entered the green zone by marginal 2Bpts. Safe NSE-Industrial Goods that lost 30Bpts, other observed market indices gained. Week to Date, the market is up by 198Bpts while total points added during the month of May is now 384Bpts. See the index movement table for details.

Value gained by the market capitalization of the listed equities during today’s trading activities was N116.798 billion, same as 128Bpts above the opening value. Meanwhile, trading activities for the day produced 34 advancers and 8 lagers. NSEASI Year to Date loss is -0.44% while the Market Capitalization Year to Date gain stood at N2.124 billion same as 0.02% above the year’s opening value.

Market seems determined to hold investors that lost out in the current bullish move longer than we anticipated. In situations such as this, investors are likely to get impatient, anxiety that the bear will not win in a long time might induce premature positions. Please note that joining a running train might get traders involved in what is technically referred to as “Bull Trap”.

We are of the opinion that, except decisions are purely based on known fundamentals; new entries should only be considered after pullback actions. It will also be safe to consider equities with interim dividend policy during half year earnings season in respective trading baskets.

We maintained that opting for growth oriented listed equities will largely improve portfolios’ value in the current market mood. In other words, highly leveraged, cyclical and speculative companies that survived the recession (on the strength that the current economy recovery signs will not fail) should be considered for better performance. Safe Trade.

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Market Update

Nigerian Equities Market Update: Market Cap YtD Turns Green as Market Records 128Bpts Gain

Aggressively recovering lost points suffered so far in 2017, the lead activities index of The Nigerian Stock Exchange posted another 128Bpts gain as it closed today’s trade at 26,756.21 point. Noteworthy is the fact that, the Market Capitalization of the listed equities today entered the green zone by marginal 2Bpts. Safe NSE-Industrial Goods that lost 30Bpts, other observed market indices gained. Week to Date, the market is up by 198Bpts while total points added during the month of May is now 384Bpts. See the index movement table for details.

Value gained by the market capitalization of the listed equities during today’s trading activities was N116.798 billion, same as 128Bpts above the opening value. Meanwhile, trading activities for the day produced 34 advancers and 8 lagers. NSEASI Year to Date loss is -0.44% while the Market Capitalization Year to Date gain stood at N2.124 billion same as 0.02% above the year’s opening value.

Market seems determined to hold investors that lost out in the current bullish move longer than we anticipated. In situations such as this, investors are likely to get impatient, anxiety that the bear will not win in a long time might induce premature positions. Please note that joining a running train might get traders involved in what is technically referred to as “Bull Trap”.

We are of the opinion that, except decisions are purely based on known fundamentals; new entries should only be considered after pullback actions. It will also be safe to consider equities with interim dividend policy during half year earnings season in respective trading baskets.

We maintained that opting for growth oriented listed equities will largely improve portfolios’ value in the current market mood. In other words, highly leveraged, cyclical and speculative companies that survived the recession (on the strength that the current economy recovery signs will not fail) should be considered for better performance. Safe Trade.

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