Still ranging within the red territory, the lead performance index on the Nigerian Stock Exchange dropped 8Bpts off its trading points and rounded up trade at 34,846.82 from 34,873.07. It was a mixed performance amongst the observed market indices (with the banking index recording the second positive trade). Week to Date, trading point is down by 45Bpts while the total loss point within the current month is now 185BPts. See the index movement table for details.
Value loss by the market capitalization of the listed equities during today’s trading activities was N9.051 billion, same as 8Bpts below the opening value. Meanwhile, trading activities for the day produced 14 advancers and 24 lagers. NSEASI Year to Date gain is now 29.66% while the Market Capitalization Year to Date gain stood at N2.765 trillion same as 29.91% above the year’s opening value.
Although several fundamental factors had been linked to the prolonged bearish stay around the market arena, we are of the opinion that, leading from the long bullish moves, most equities’ share prices attained prices above their respective 2-3 years high thus, becoming more expensive and risky to play. In other words, trading trends usually identified with such equities were lost, giving traders less reason to trade.
Adding to the pressure around the market are several right issues currently begging trading funds for patronage. Please understand that the funds patronizing the offers remains tied down, and will have negative effects on market liquidity until the rights are listed or become tradable.
On the strength of the above, we 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.