Rounding up the month of August, equities trading on the floor of The Nigerian Stock Exchange ended the last trading day of the month with the bear as it gave up 35Bpts and closed at 35,504.62 point from 35,629.13. It was a mixed performance amongst the observed market indices. Total loss suffered during the week is now 312Bpts while Month to Date loss is 96Bpts. See the index movement table for details.
Value loss by the market capitalization of the listed equities during today’s trading activities was N42.914 billion, same as 35Bpts above the opening value. Meanwhile, trading activities for the day produced 27 advancers and 20 lagers. NSEASI Year to Date gain is now 32.11% while the Market Capitalization Year to Date gain stood at N2.990 trillion same as 32.34% above the year’s opening value.
Surprisingly the, market took back all gained points in August. Please note that this is coming after five consecutive positive months. It should also be noted that the month experienced three negative weeks, unlike the previous month when market all trading weeks were positive.
Although the gainers’ log improved during today’s trading activities, there is no comprehensive signal that the bear is done with the market. Nevertheless, the pull back remained an outstanding opportunity for traders, as overpriced equities will reverse and create new entry points. It is therefore likely that both traders and investors will panic off the market in an attempt to run off with the profit made so far, this action may prolong the bear’s stay around the market arena.
We therefore maintained that traders should tread cautiously. Possible profits should be accumulated while strict care should be exercised against risky investment decisions. All trading rules should be followed to the later. Safe Trade.