Home Nepal stock Slightly lower the week after recovery from the last session – myRepublica

Slightly lower the week after recovery from the last session – myRepublica

14
0

KATMANDU, July 9: The stock market started the week with a further downtrend as the Nepal Stock Exchange (Nepse) index fell 8.48 points on Sunday. On Monday, the benchmark lost 11.78 points followed by a drop of 4.63 points on Tuesday. The losses escalated on Wednesday as Nepse gave up an additional 16.98 points to close just above the 2,800 mark. However, after four straight days of loss, stocks gained ground with Nepse recovering 23.98 points Thursday, keeping the weekly loss below 20 points. The index fell 17.89 points or 0.63% during the review week to end at 2,825.11.

After closing flat the week before, selling pressure at the end of the quarter pushed the index down slightly this week. The market has seen sluggish trading over the past two weeks, in part due to the easing of ban orders. Meanwhile, investors will likely take a cautious stance as listed companies start reporting financial results after the start of the new fiscal year. Weekly turnover continued to weaken, falling by more than 30% to Rs. 23.26 billion.

Class ‘A’ stocks managed to end the week higher as the sensitive index rose 0.16%. The sectors recorded mixed performances. On the winning side, the manufacturing and processing sector strengthened and rose 2.67%. The trading sub-index finished up 1.14%. The microfinance, mutual funds and banking sub-indices edged up. On the other hand, the Hydroelectricity, Finance and Hotel & Tourism segments suffered the most. The respective sub-indices fell by 3.93%, 2.88% and 2.17%. The non-life insurance, life insurance and development banking sectors lost more than 1% each. All other sectors recorded modest losses.

According to ARKS weekly technical analysis, the index formed a small spinning candlestick suggesting slight indecision. With the index recovering from the week’s low of 2,800 to close at 2,825, minor bullish movement was seen towards the end of the week. However, a confirming green candlestick on the weekly horizon will be crucial for the market to resume its bullish movement over the medium term. Technical indicators, meanwhile, suggest the absence of any major momentum on either side of the spectrum. Immediate support is provided by 2,750 Mark.

This column is produced by ARKS Capital Advisors Ltd.

www.arkscapitaladvisors.com

(The opinions expressed in the article are those of the producer and do not necessarily reflect those of this publication)


Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here