INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED AUGUST 31, 2017

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WHERE TO INVEST AND EXPECTATIONS FOR SEPTEMBER 2017




The global economic recovery is at the moment under threat by the continued tension from North Korea missiles display that may trigger war of any sort if not checked immediately, added to political risks and unfriendly international policies emanating from some developed countries, which are currently slowing growth. There is also the Hurricane Harvey currently ravaging the U.S state of Texas that had affected refineries in the country, following which there is a spike in gasoline price across the country, just as prices of other commodities are looking up at the international market, despite the continued oscillation in oil price that is currently trading at $52.07per barrel.

Another factor is the unstable fiscal and monetary policies around the world, with stimulus gradually being withdrawn; a situation that had triggered inflation in US, UK and Germany, while other parts of the Europe zone and Japan remained relatively unchanged.
Global economy growth outlook remains unpredictable, despite the positive economic data and impressive corporate earnings as political and economic uncertainties continue to threaten businesses and investments, made worse by the body language and utterances of world leaders.

Back home, there are factors such as the continued decline in inflation rate to 16.05%, growth in foreign reserves and positive macro-economic indices that had supported the recovery so far on the strength of CBN intervention in the FX market that strengthened the Naira relatively and supported stable exchange rate for this six months of recovery. However, the non-implementation of the 2017 budget is beginning to threaten confidence among the investing public in the whole system, given that the CBN’s efforts alone cannot sustain growth in productivity to create and grow employment. Regardless of the fluctuating price of crude oil, the relative peace and security that have since returned to the nation’s troubled Niger Delta region and stability in oil output, all of which would impacted the nation’s revenue positively, the secrecy in the budgeting process has not helped till date after four months since the Vice President, then Acting President Yemi Osinbajo assented to the 2017 Appropriation Bill.

In September, we expect Nigeria’s inflation rate to continue dropping as price will relatively remain flat until October when price will start looking up again for the end of the year/festive season.
PMI for the month of August was down but the expectation for improvement in the new month is high if the government does the needful to support the seeming recovery in Nigeria’s manufacturing sector as Q2 numbers from the sector surpassed market expectation to confirm the positive impact of CBN intervention policy in the FX market on the sector.

The June year-end accounts that are expected in the month are very few so it would not impact much on the market this month but we expect investors and analysts to interpret the recent scorecards from first-tier banking stocks and other sectors to reposition their portfolios ahead of the Q3 earnings season in October. Also, this being the last month in Q3,we expect the market to keep oscillating in the new month, just as economic policy direction from the government would further strengthen market fundamentals and the economic recovery.
The recent pullback supported the low valuation in the market despite the latest rally as many stocks still remain undervalued on the strength of the intrinsic value that should guide the investing public as they seek to invest profitably for the rest of the year.

Traders and investors who understand the dynamics of the market and the importance of combining fundamental and technical analysis in making investment decisions in the stock market should take this opportunity of pullback to position in some sectors for short, medium and long-term gains. Sectors that could be looked at for juicy returns this month include: the fast moving consumer goods, banking, agribusiness, building material, oil and gas after a careful study of the recent price pattern and fundamental data available in the market ahead of Q3 earnings season in October. This is a very important season in stock market cycle in taking final investment decisions for the year as numbers expected at that period give insight into what should be expected at the end of December financial year end.

What to expect in September and October

Release of June full year earnings in September, being the end of the statutory 90-day period for submission of audited results. The expected Guinness Nigerian earnings may strengthen market fundamentals if positive, dueto sectoral influence given that before now the company had posted weak numbers.
The oscillating trend of equity prices as a result of repositioning of portfolio along the line of positive numbers and profit taking ahead of October earnings season.
Market outlook for the new month remains mixed as less quarterly and full year are expected. But with the positive sentiment and strong momentum as the market expects the economy’s recovery to be strengthened if the government implements the 2017 budget faithfully and the CBN sustains its intervention in the FX market that had boosted liquidity and confidence in the economy and market and impacted business activity as revealed by recent corporate earnings.

The relative low price to earnings in market may further attract demand for stocks, but you must invest wisely, using bids, offers and volume when taking decisions as a trader.
Managing risk and protecting capital at this point is very important, so you will be able to determine when to buy or sell, by watching the stocks and the market, using technical analysis, which our buy and sell signal provide for subscribers. To join call 08028164085
Let corporate earnings guide your decision and time to stay in that position.
To learn how to manage trading risk and avoid getting scared out of trade position, which is a common challenge for most traders and investors of today, but for the exit strategy you can start using immediately to overcome this problem, get INVESTDATA’s comprehensive stock market trading and investing home study pack where short trading strategies and how to identify quality companies to invest before the market look toward ii were discuss.

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CORPORATE ACTION FOR JULY 13TH -12TH SEPTEMBER 2017

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AUGUST MARKET ROUNDUP

TALE OF THREE-YEAR HIGH, VOLATILITY, CORRECTION, IMMINENT REVERSAL

Trading on the Nigerian stock exchange (NSE) for the just concluded month of August was mixed as earlier predicted in our July round up to close lower as it halted five straight months of bullish run, after breaking out of the psychological level of 38,000 basis points. During the month, the NSE All Share index hit an intra-day high of 38,241.67 on August 14, after closing at 38,198.60 points
on Friday, August 11, 2017, representing a 42.14% return on investment on that date. On that date too, market capitalization closed at N13.17tr, representing a N4.01tr or 42.64% jump in investors’ worth.

During the month of August also, the NSE index tasted a low of 35,417.16, reflecting the heavy cash out by investors, which took back all of its earlier gains after attaining a three-year high during the month. The impressive Q2 numbers from the banking sector did not influence the market positively as the earnings and interim dividend have been factored into the prices of the banks that made Q2 audited numbers available following which sell-offs persisted to end the month negative but with improved market breadth on the last trading day of the month that signaled reversal of the market correction is imminent.

The volatility seen in the second half of the month was despite the fact that positive factors supporting the market in the last six months remained intact, particularly the nation’s impressive foreign reserve pool. This is just as other macro-economic fundamentals continued to look up, helped by the continued intervention of the Central Bank of Nigeria (CBN) in the foreign exchange side of the inter-bank market, which had enjoyed sustained liquidity in the investors and importers window. This liquidity encouraged foreign investors and helped facilitate capital inflow into the stock market. Although the August Purchasing Managers’ Index released by the CBN on Thursday showed that fell marginally to 53.6 point from its level in July, it nonetheless remained above the 50 points threshold that shows that was some growth in productivity during the month (READ).

The magnitude of losses suffered within the month dragged the NSE ASI into the red, with the market down for 10 trading sessions and up for 13, leading to a pull-back that resulted in a drop in the market’s year-to-date gain from 33.39% in July to 32.11%. Despite the drop, the index remained among the top performing emerging markets in the globe and Africa, amidst its myriads of challenges.
It must be noted that companies on the NSE posted exceptional improvement in the Q2 numbers and the economic recovery, just as it remained attractive even as recent correction revealed the undervalued state of some stocks with high potential to rally.

Meanwhile, the composite Index for the month fell by a marginal 343.13 points to close at 35,504.62 from an opening figure of 35,847.72 which represented 0.96% decline over the period on a strong selling pressure that impacted on stock prices within the month.
The selling volume of total transactions for the month was 97%, while buying position was 3% to halt the five months of bullish transition,while volume index for the period was 1.04. Market capitalisation for the month shed N120bn to close lower at N12.24tr, from an opening value of N12.35tr, representing a 0.96% value loss. The market’s mixed trending was due to profit taking and repositioning by traders.
Traded volume for the month was up by 3.80% to 6.83bn shares from 6.58bn in the preceding month.
Market breadth for the month was negative with decliners outweighing the advancers in the ratio of 42:35 to cut short the five months bull transition by pulling back on the last trading week of the period due to price correction.

NSE Consumer Good Index topped the sectoral performance chart for the period with 11.68% gain to outperform the general market benchmark index that closed in the negative. While the NSE Main board ranked second, a gaining 3.48%, whereas the NSE 50 and NSE 30 notched 0.66% and 0.15% respectively to occupy three and fourth positions.

On the other hand, NSE Gas/Oil was the worst performing indexes as it shed all of 11.37%. It was followed by the NSE Premium 7.78% decline, reflecting the high selling pressure on the shares of Zenith Bank, FBNHoldings and Dangote Cement. This was followed by the NSE Industrial, which dropped 4.69% to reveal investors’ wait-and-see attitude at a time capital intensive projects of government are yet to start impacting bottom, due to the delay in implementation of the 2017 budget. Other sectors that closed in the red during the month were: NSE Insurance, NSE Banking, and NSE Lotus with 2.47%, 1.27% and 0.46% respectively to reflect investors and traders movement in and out of the stocks in sectors.




Best Performing Stocks
The month’s best performing stocks were C & I Leasing which gained 33.33% of its opening price, as it galloped on the strength of its quarterly earnings report that were released recently; followed by National Salt, which appreciated by 24.76%; while Dangote Flour Mills rose by 22.61% in the period under view; just as Nestle Nigeria chalked 21.55%. Other gainers on the table for the month included: PZ Cussons, 18.70%; NahcoAviance, 16.19%; Guinness, 16.06%; Livestock Feeds, 15.38%; and UBN, 14.50%; among others.

Best Performing Stocks in August
Securities
Sector
Open
Close
% Change
C & I Leasing
Services
0.75
1.00
33.33
National Salt
Consumer Goods
10.42
13.00
24.76
Dangote Flourmills
Consumer Goods
5.22
6.40
22.61
Nestle Nigeria
Consumer Goods
1003.70
1,220.00
21.55
PZ
Consumer Goods
23.00
27.30
18.70
Nahco
Services
2.78
3.23
16.19
Guinness Nigeria
Consumer Goods
65.05
75.50
16.06
Livestock Feeds
Agribusiness
0.78
0.90
15.38
UBN
Financials
5.24
6.00
14.50
Dangote Sugar
Consumer Goods
11.97
13.50
12.78
International Brewery
Consumer Goods
33.13
37.00
11.68
Jaiz Bank
Financials
0.69
0.77
11.59
Linkage Assurance
Insurance
0.61
0.67
9.84
BocGas
Industrial Goods
3.28
3.60
9.76
ETI
Financials
16.50
18.00
9.09
Cutix
Industrial Goods
2.31
2.50
8.34
Source; NSE and Investdata Research
Worst Performing Stocks

Worst performing stocks for the period was led by Morison Industries, which lost 36.91%, as a result of sell-offs after the company recorded unimpressive numbers despite the proposed primary market activities. Double One Plc lost 34.74% as a result of its weak Q1 and Q2 numbers; followed by the 25.37%drop in the price of Nem Insurance; and Conoil,23.90% on the back of profit taking by traders.

Worst Performing Stocks in August 2017
Securities
Sector
Open
Close
% Change
Morison Industry
Healthcare
1.30
0.82
36.92
Double 11
Oil/Gas
253.00
165.11
34.74
NEM
Insurance
1.34
1.00
25.37
Conoil
Oil/Gas
36.40
27.70
23.90
Forte Oil
Oil/Gas
61.70
49.00
20.56
Okomu Oil
Agribusiness
80.03
65.64
17.98
Champion
ConsumerGoods
2.85
2.40
15.79
Oando
Oil/Gas
7.98
6.81
14.66
FCMB
Financial
1.25
1.07
14.40
Redstar Express
Services
5.10
4.38
12.40
Source: NSE &Investdata Research

Chart view of August market.

NSEASI MONTHLY TIME FRAME FOR AUGUST


NSE Index has been trending up as revealed by the index action to form a rising channel where the market closed within the channel after trying to breakout the upper line of the channel which has become the resistant and pullback immediately to create a new entering point for discerning investor.

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MARKET UPDATE FOR SEPTEMBER 5, 2017

NEWS OF NIGERIA’S EXIT FROM RECESSION FAILS TO BUOY NSE INDICATORS, AS SEPT OPENS IN RED

The nation’s stock market opened the week and month of September lower after the long holidays, continuing a five-day downtrend that ended August negative as stocks recorded strong volatility despite news of Nigeria’s exit from economic recession technically following its positive Q2 GDP growth of 0.55%. This additional positive economic data, it seems, did not impact on the market as at end of Monday’s trading. The composite NSE All-Share index went south at the opening session, while in the last hour it snapped back a little to cut back the losses, which was not enough to change the market’s direction as it closed marginally lower. The low volume traded and the reversed market breadth to negative signaled cautious trading and investing on the first trading of the week given that the market had previously failed to responded positively to the impressive earnings that were released since mid-August.

The ongoing correction is a clear reflection that the market had earlier factored in the positive corporate earnings and economic data, following which investors and traders are playing safe at a time like this when the economy continues to stand on one leg- monetary authorities through the intervention of the Central Bank of Nigeria (CBN) in the FX market. This intervention, particularly its creation of the importer and exporter window has so far helped to relatively sustain the exchange rate of the Naira against other global currencies, besides enhancing liquidity in the market, attracting more inflow and impacting positively on the nation’s manufacturing sector and others as revealed by numbers and data.

It must be emphasized that there is palpable fear among investors and traders as to whether or not this trend would be sustained much longer, given that the fiscal authorities have since gone on a long slumber. This has resulted in the apparently poor implementation of the 2017 budget, which many had expected to significantly drive the much celebrated Economic Recovery & Growth Plan (ERGP) launched by the Federal Government in February, which seemingly accounts for the very negligible recovery in Nigeria’s 2017 Q2 GDP, a rate far slower than population growth. It is agreed even on the streets that what Nigerians desperately desire today is a robust job-led economic growth that would tackle the fast rising poverty in the land.

With another round of increased insecurity in the North East, poor road network across the country that continues to negatively impact movement of agricultural produces from the farm to the city centres, it was no surprise that unlike South Africa which also came out of recession after just two quarters, Nigeria’s agric GDP growth was retarded in the period under review. This government must move from the era of sloganeering to fixing the nation’s dilapidated road, rail and other critical infrastructure, by constructing some afresh and maintaining others to ease the pains of Nigerians. It is such that increases the cost of doing business, unemployment, as we gradually return to the era of multiple strike actions by various workers’ unions dissatisfied with the country’s present situation that has left so much to be desired. All of these contribute enormously to send negative signals to investors, inspiring fear and uncertainty in the land, thereby draining what is left of confidence in the government and its economic team.

Back to the market, selling pressure remained high at 71%, to support the down market as revealed by the volume traded index of 0.71, while buying volume was 29% of the day’s total transaction, as shown in the market breadth.
Meanwhile, the benchmark NSE ASI shed 100.70 basis points on Tuesday to close at 35,403.92 point, from the 35,504.62 points opening level which represented 0.28% decline on a lower volume traded, when compared to previous session. Similarly, market capitalisation for dropped by N34.71bn to close at N12.2tr, from an opening value of N12.24tr, representing a 0.28% value loss in investors position.
The downturn in the share price of medium and high cap stocks during the session impacted negatively on the ASI’s year-to-date returns, reducing it to 31.74%, just as market capitalisation dropped to N2.96tr within the period, which left it at 31.97% above the year’s opening value.
Market breadth for the day was negative as the number of decliners outnumbered advancers in the ratio of 24:21 on a relatively low volume of trades to continue its five-day bear transition.
Market activities in terms were mixed as volume dropped 13.96% to 230.03m of shares as against previous day’s 266.51m units while valued was up at N4.77bn, as against the previous day’s N4.04bn.

Also, transaction in the shares of Access Bank, UBA, Zenith Bank, FBNH and Stanbic IBTC topped the volume chart.
At the close of the day’s trading session, C&I Leasing and NEM Insurance topped the advancers’ log, gaining 5.00% respectively to close at N1.05 apiece on market forces, followed by Guinness Nigeria with a 4.99% notch at N79.27 per share, as investors reacted positively to its audited result released during the day indicating a turnaround and return to profit, just as the offer of 64 kobo dividend per share.
On the flipside, Seplat lost 5% to close at N465.98 on profit taking, ahead of Julius Berger’s 4.99% to close at N30.87per unit on market forces.

TODAY’S OUTLOOK
As trading open this morning, it’s expected that volatility will continue amidst profit booking and repositioning in expectation that the positive Q2 GDP will drive optimism in equity investment ahead of Q3 earnings season and year end, even as we expect improved efforts from fiscal and monetary authorities to sustain the ongoing economic recovery.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock since there is no bad news in the market at the moment.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down ahead of the improving economic fundamentals, amidst the wait for the Federal Government to complement initiatives of the monetary authorities needed to quicken Nigeria's economic recovery. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk.


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MARKET UPDATE FOR SEPTEMBER 6, 2017



INVESTORS DIGEST ECONOMIC DATA IMPACT ON STOCKS, AMIDST WAIT FOR BUDGET 2017 IMPLEMENTATION

Nigeria stock market rebounded at the end of midweek’s trading session, with the benchmark index in a positive come-back session amidst continued volatility. The market gapped up in the opening hours, but came down pretty hard, held support at 35,326.19 basis points, before doing a nice come-back by the afternoon, taking the index to intraday high of 35,745.70 and low of 35,348.94, recording a 205.15-point rally. In the last minutes of trading, the market lost a big chunk of the gains but still managed to close the day positive.

The improvement in volume traded however signals a gradual increase in demand for stocks again after five consecutive days of selloff that propelled the pullback before Wednesday’s reversal despite the slight weakness in market breadth at the end the session.
With the improvement in buying pressure of 65%, to support the up market as revealed by the volume traded index of 0.87, while selling volume was 35% of the day’s total transaction, it does appear investors are taking advantage of the correction and the emerging positive economic data to position in some stocks, which are being considered vis-à-vis the strong Q2 numbers of listed companies and the few full-year numbers that are also impressive. There is also the factoring in of hopes that the Nigerian government would urgently change its approach to economic management to ensure that the nation’s GDP is enhance, given that the 0.55% growth in 2017 Q2 is fragile, particularly by fixing critical road and rail infrastructure across the country.

The Muhammadu Buhari government needs to ride on the momentum of the relatively stable exchange rate, as well as the seeming peace in the Niger Delta that had impacted positively on the crude oil production output of 2million barrels per day. The increased output contributed substantially to the Q2 oil GDP as a result of relatively high price of the commodity at the international market that had influenced Nigeria’s external reserves positively, while supporting the nation’s positive economic outlook and the likelihood that it would attract more forex inflow if the Central Bank of Nigeria (CBN) continues to sustain its intervention as promised and is able to achieve a single exchange rate.
Meanwhile, the composite index NSEASI gained 205.15 basis points on Wednesday to close at 35,609.07 point, from the 35,403.92 points opening level which represented 0.58% growth on a higher volume traded, when compared to previous session. Similarly, market capitalisation recovered by N70.71bn to close at N12.27tr, from Tuesday’s N12.2tr, representing a 0.58% value gain to halt the losing streak in investors’ portfolios.

The upturn in the share price of medium and high cap stocks during the session impacted positively to boost the ASI’s year-to-date returns to 32.50%, just as market capitalisation gains stood at N3.03tr within the period, 32.97% above the year’s opening value.
Market breadth for the day was slightly negative as the number of decliners outnumbered advancers in the ratio of 23:22 on a relatively low volume of trades to halt the five-day bear transition.
Market activities in terms of volume and value were up by 22.52% and 13.60% respectively to 281.34m shares as against previous day’s 230.03,m units valued at N5.42bn, as against the N4.77bn recorded in the previous session.

Transaction in the shares of Guaranty Trust Bank, Access Bank, FBNH, Fidelity Bank and Sterling Bank topped the volume chart.
At the close of the day’s trading session, Guinness Nigeria topped the advancers’ log, gaining 10.24% respectively to close at N87.39, as investors reacted positively to its full-year audited result released during the day, which indicated a return to profit, following which the directors offered 64 kobo dividend per share (READ). It was followed by Redstar Express with a 9.82% notch at N4.81 per share, on market sentiments and strong Q1 numbers.
On the flipside, PZ lost 4.98% to close at N25.94 on a day it released its audited full year numbers, with profit rising by 73.1% and its board recommended a 50 kobo dividend (READ). Morison Industries shed 4.88% to close at N0.78 per unit on market forces despite its proposed primary activity.

TODAY’S OUTLOOK
As trading opens this morning, volatility is likely to continue amidst profit booking and repositioning in expectation that the positive Q2 GDP will drive optimism in equity investment ahead of Q3 earnings season and year end, as we expect the government to review its 2017 budget implementation strategy and some fiscal policies that will support the monetary authorities to sustain the ongoing economic recovery to make real growth a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as the news of exits from economic recession is a plus for the market.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable


INVESTDATA CONSULTING LIMITED
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
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MARKET UPDATE FOR SEPTEMBER 7, 2017

NSE STOCKS SOAR HIGHER ON LIKELY REVALUATION, POSITION TAKING AHEAD OF Q3 NUMBERS

Trading on the Nigerian Stock Exchange on Thursday closed higher to consolidate the previous session rebound, despite the continued volatility that has forced investors and traders to the sidelines as they watch the market re-emerge from correction mode on the two-day bull transition. The index pulled back slightly shortly after market open, but retrace marginally by the afternoon and later bounced back significantly to breakout the psychological line of 36,000 and then hit an intraday high of 36,141.70 and low of 35,559.76 on a low volume traded. There was a noticeable high buying pressure of 95% as revealed by the volume index of 0.71, while selling volume was 5% of the day’s total transaction to support the up market.

Also, important is the fact that foreign investors continued to show interest in the consumer goods and the financial sectors, a situation which should inspire interest as to what exactly mat be driving this class of investors and what they look at before jumping into any stock. During the day’s trading also, 1.87m shares of Nestle Nigeria were crossed to a foreign investor at N1,220 per unit by a domestic investor. Guinness Nigeria continues to enjoy positive response to its recommendation of 64 kobo dividend per share, as well as its 2017 audited financials indicating a recovery from previous year’s loss before and after tax (READ). On the strength of this, the stock has so far recorded 22% gain since its result hit the market. This situation is however not playing out yet in the case of PZ Cussons, which also released its audited full-year result within the week, showing that net profit ballooned by 73.1% (READ), even as the market has not looked its way. It may not confirmed whether this is due to the decision of the board to still recommend a 50 kobo dividend just like prior year, despite the net profit jump. What happens to the share price in coming weeks would determine whether it is the outcome of investor dissatisfaction or the fact that they are still digesting the numbers.

Over the past four years, according to INVESTDATA Research findings, the market had closed the month of September in positive territory, except 2014. It is the last in the Q3 and first in the last four months of the year when investing and position taking are high in preparation for the October earnings season and ahead of the 2017 full-year results in 2018 for medium and long term investors. This is especially true, now that Nigeria’s market and economic fundamentals are looking up as reflected in the recent corporate earnings and positive economic data that should guide discerning investors to know where to invest for profitable returns in no distant if this growth and recovery tempo is sustained with good policies and action.

Meanwhile, the All Share Index gained 503.30 basis points on Thursday to close at 36,112.37 point, up from the 35,609.07 points opening level which represented 1.42% growth on a lower volume traded, when compared to previous session. Similarly, market capitalisation for the day further recovered N174.79bn to close at N12.45tr, from N12.27tr in the previous session, representing a 1.42% value gain to continue the two day bull transition. It also reduced losses suffered in the last two week by investors.

Price appreciation in the shares of the two most capitalized stocks Dangote Cement, Nigerian Breweries and others likes Guinness, Stanbic IBTC, Flourmills, Lafarge Africa, Guaranty Trust Bank and Dangote Sugar impacted positively to boost the ASI’s year-to-date returns to 34.37%, just as market capitalisation gains increased to N3.2tr within the period, representing a 34.62% rise above the year’s opening value.
Despite this, market breadth for the day remained slightly negative as the number of decliners outpaced advancers in the ratio of 22:19 on a relatively low volume of trades to sustain a two-day up market.

Market activities in terms of volume and value were down by 20.99% and 23.14% respectively to 222.69m shares, as against previous day’s 281.34m units valued at N4.17bn from the N5.42bn recorded in the previous session.
Transaction in the shares of Sterling Bank, Royal Exchange Insurance, Fidelity Bank, Access Bank and Zenith Bank topped the volume chart.
At the close of the day’s trading session, Guinness Nigeria topped the advancers’ log, gaining 10.23%, closing at N96.33 per share, as investors reacted positively to its full-year audited result released during the day. It was followed by Dangote Cement with a 4.73% notch at N216.91 per share, on positive market sentiments and expectation that government’s infrastructural development projection as contained in the 2017 budget may further boost its numbers in the coming months of the year.
On the flipside, Seplat lost 5.00% to close at N457.90 on a profit taking, followed by NCR that shed 4.91% to close at N6.97 per unit on market forces.

TODAY’S OUTLOOK
Technically, the market closed mix on Thursday, but volatility is likely to continue as market opens this morning amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of Q3 earnings season and year end, while we expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities to sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as the news of the nation’s exit from economic recession is a plus for the market.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.


Are you prepared for market correction to protect your portfolio and even profit from this correction? If you’re not sure, join me sept 9, at Blumy Guest House, 51/53 3rd Avenue, Behind MTN Office, Gwarinpa Estate Abjua, when I’ll share my powerful defensive strategies and demonstrate how you can actually profit from the recovery mkt and economy.
Plus, I’ll also show you how to:

*Get the signals that alert you to buy or sell
*Better time entries and exits
*Avoid over-hyped stocks and other landmines that can destroy portfolios
*Use the proven Investdata Buy & Sell Signal Setup to trade and invest profitably
*Anticipate whether a stock is likely to beat or miss earnings estimates

This event is filling up quickly so and secure your spot in order to enjoy 20% discount on all our home pack study materials that will boost your understanding and knowledge to profit from stock market investment.

Registration fee is just N1,000 online or at the venue.
Hope to see you there,
Ambrose Omordion
CRO | Investdata Consulting Ltd
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/09/market-update-for-september-7-2017.html

Economic Recovery Will Be Gradual, But Govt Must Do The Needful, Says Kale

I’ve Insisted On Authentic Data Since Becoming NBS CEO In 2011

Irked by suggestions especially in the social media casting aspersions on the GDP data released by the National Bureau of Statistics (NBS) on Tuesday morning, Dr. Yemi Kale, its chief executive, on Thursday continued defence of the numbers churned out by the agency showing that Nigeria came out of recession in the second quarter of 2017.
In a series of tweets, Kale, who is also statistician General, defended the figures insisting that they are products of empirical data indicating that the country is on the path of slow and even gradual recovery that would be sustained and improve over time, provided the government the needful without which the nation would “once again sink into negative growth as quickly as we got out.”
What Nigeria faced, he explained, was stagflation, defined as when an economy is growing negatively (recession), in the presence of rising inflation and unemployment, which means recession normally comes with low inflation.
“In many cases, a recession will exhibit lower inflation because a recession suggests producers are producing less usually, because there is no demand for their goods and when there is no demand then supply will outstrip supply and prices will decline. In fact the CBN (Central Bank of Nigeria) will raise interest rates in an inflationary environment to prevent demand pull inflation which is overspending by the masses and remove money in circulation.
“So, sometimes, inflation is caused by the masses having money in their pocket so monetary policy may be used in this regard to curtail demand and spending. Again, this suggests that they may be linked but are not dependent on each other when they are independently computed.

“Inflation we face today is however not demand pull but cost push and structurally linked largely to forex issues and infrastructural issues we have had for years (which accounts for the fact that) prices (of goods) are high in the market.”
For those wondering how any one can truly say Nigeria is to be truly out of recession in the face of all of these factors when the impact of the positive GDP is not being felt, or the economy said to be recovering, Kale explained that economic recovery is gradual, just as getting into recession is (negative GDP) is a process began from decline in GDP from 6% to 5%, 3% to -0.6% to -1.4% to -2.3%.
Meanwhile, he wondered why no one raised eye-brow when the same agency reported that Nigeria slipped into recession are now blowing hot, while insisting that the GDP is not reflecting the real situation of Nigeria’s economy.

“I was statistician general and CEO of NBS since 2011 and no data since then has ever been “false or bogus” as being claimed he stressed.
Critics of the NBS data showing that the country is out of recession have continued lament the rate of poverty in the land, as well as hunger and unemployment as proof that Nigeria is still in recession, to which he replied: “If you claim recession is only over when everybody has jobs and food, then Nigeria has been in recession since colonial times. It also means every country in the world is in recession because there is no country in the world that doesn’t have poor and unemployed people.”
There are 46 economic activities considered while computing GDP and 21 recorded negative growth as in the case of the Q2 GDP data, he said, which suggests “that all is not well yet, but it is an important first step to arrest the slump.”
Moreso, Kale continued, the services sector which ordinarily “impacts the man on the street more was still negative though agric and industry took us out of recession so it is expected that for now and as recovery continues depending on doing the right things and I can’t stress that enough then services will also come out of recession and people will feel the impact more over time.
“There is no magic wand or auto button. It’s a process,” he further noted.

http://investdata.com.ng/2017/09/economic-recovery-gradual-govt-must-needful-says-kale/#more

Buhari Promised He Won’t Seek Re-election in 2019 -Minister

Nigeria’s President Muhammadu Buhari told members of his party before he was first elected that he would only seek one term, implying he did not intend at that time to run in 2019, Aisha Alhassan, Nigeria’s Minister of Women’s affairs told Reuters on Wednesday.
She said Buhari made the promise in 2015 to APC members without giving further details.
Although the president’s two spokesmen declined to speak on the minister’s remarks to Reuters, the comments could heighten uncertainty over whether Buhari plans to contest the next election, but the President himself is yet to say if he will seek a second term, even amidst subterranean campaigns already for his re-election. It is not however known whether such moves enjoy his blessing.

She threatened to resign from the Federal Executive Council, should he principal seek re-election, to support former vice president Atiku Abubakar if he decides to run. Alhassan recalled that “in 2014/2015 he said he was going to run for only one time to clean up the mess that the (previous) PDP government did in Nigeria. And I took him for his word that he is not contesting in 2019.”
“If today Mr. President says he is running in 2019 I will go to him respectfully and thank him for giving me an opportunity to serve and then tell him that I have to resign because my political father may be running,” she stressed.
Another report quoted her as telling BBC Hausa Service that even if President Buhari decides to seek re-election, she would still support Abubakar who she described as “my godfather even before I joined politics.
“Let me tell you today that if Baba said he is going to contest in 2019, I swear to Allah, I will go before him and kneel and tell him that ‘Baba I am grateful for the opportunity you gave me to serve your government as a minister but Baba just like you know I will support only Atiku because he is my godfather. If Atiku said he is going to contest.

The Minister popularly called Mama Taraba, added that she is not scared of being relieved of her job as minister, stressing: “If because of what I said, I am sacked, it will not bother me because I believe in Allah, that my time has elapsed that is why…” “Baba is not a mad man like those calling for my sack. They have been sending it and spreading that if Baba sees this I will be sacked.”
Abubakar was vice president from 1999 to 2007 as part of the People’s Democratic Party (PDP), from where he teamed up with the All Progressives Congress (APC) in 2014.
Buhari, 74, returned on August 19 from a 103-day medical leave in Britain for an unspecified ailment. It was his second stint of sick leave this year following a break between January and March.
Many people expressed doubts as to whether Buhari is healthy enough to serve another four-year term as Nigeria’s President.

http://investdata.com.ng/2017/09/buhari-promised-wont-seek-re-election-2019-minister/#more

TAKING ADVANTAGE OF MARKET CORRECTION TO BUY IN DIP

In the past two weeks, the benchmark index has been on the decline, during which the month of August closed negative in the aftermath of profit taking and cautious trading as the market would not react positively as expected to impressive corporate earnings and economic data including the slowly sliding inflation and the latest report from the National Bureau of Statistics (NBS) which confirmed that Nigeria’s economy recovered, although sluggishly from recession after five successive quarters, spanning 15 months.

The sell-off witnessed was part of market dynamics especially after a long rally as investors became concerned over the sustainability of the economic recovery with the way the fiscal authorities continue to foot drag in the implementation of Nigeria’s 2017 budget that ought to be the catalyst for economic growth and development. It is known that government is the biggest spender in any economy and there is the compelling need to compliment the various interventionist activities of the Central Bank of Nigeria (CBN). This has been most visible in the foreign exchange window of the inter-bank market where the apex bank continues to support the manufacturing sector by opening an Investors and Exporters window to ease access to forex, while encourage inflow of capital and investments into the market and economy, since these can be easily repatriated when there is need. In furtherance of this desire to encourage seamless and transparent inflow of capital, the CBN announced the creation of a new electronic Certificate of Capital Importation (e-CCI) platform which takes off on Monday, September 11, 2017.

The Nigerian Stock Exchange (NSE) composite All-Share Index (ASI) hit a high of 38,198.60 in August 11, 2017, after which it took a plunge of over 2790.81 points to a lows of 35,407.79 by September 5, 2017. This represented a 7.31% slide in just 15 trading days that spanned the period.
The question for this post-holiday week is: Will the composite NSEASI continue to reward traders who have been buying every dip, or is it finally time to sell on this rebound?

I have been writing for some times now about how to position on the strength of companies earnings that are trending up and have the possibility to beat estimates in the next earnings season and in the process influence price movement in the market. Since the sessions following the March of 2017 lows we have seen several pullbacks that created opportunities for buying and then rebound to continue the up rally. From February till date we have seen negative news or events that crashed the market even while analysts were so sure that the market would continue to attain higher highs.
Now that the market has finally rebounded after two weeks of pullback, the experts are now linking the escalation to the expected earnings season and review of government strategies in the implementation of the 2017 budget with the hope that this would sustain the economic recovery and growth as we move farther from recession as reason for likely movement of the market from the 35,407.79 low. The high of 38,198.60 had been an ideal target zone for another breakout that will confirm another bullish market this period.

I recall that during INVESTDATA’s “Invest 2017 summit,” we predicted that 2017 will be a bullish year, noting that the Nigerian Stock Exchange had never in its history experienced three straight years of down market and all the stocks recommended at that summit, as those who attended or purchase the seminar materials would attest, have recorded over 50% year to date,better than the All share Index’s Year-To-Datereturns now at 34.37%. Beyond that, INVESTDATA Research sees the market closing the year positive with many stocks hitting three year highs on the strength of improving company, market and economy fundamentals that will influence their prices,helped by the fact that different sectors of the economy are looking up already as revealed by the Q2 GDP fugues.
"If the benchmark index is able to follow-through in anspontaneous pattern up of that March 6th low then we have an ideal target zone on this smaller degree timeframe right in the 35,407.79-38,198.60 zone. This zone has excellent confluence with our larger degree Fibonacci target level of 38,212 as it falls right with that smaller degree target zone’’
If the 38,198.60 level was indeed the top of the larger degree fourth wave as noted on the charts below, then the target level that I had laid out on August 11 would have been within four points of the actual high.

Again, this was before the correction was escalated by profit taking and cautious trading due to delay in implementing the capital expenditure side of the budget 2017 and expected economic reforms policies. The targets that were laid out were based purely on our Elliott Wave analysis and our Fibonacci Pinball targets. These tools help us measure sentiment in the market based on what we are seeing in the charts. So, rather than rely on some economic news only, there is need togauge market sentiment also.
The market does still have a bit of work to do before proving that the 38.198.60 level was indeed the top of the larger degree fourth wave, but hitting the ideal target within four points is certainly a decision just as time to sell or hold to breakout which is always very dicey for many traders and investor.

What's Ahead?
There are two distinct paths that I am currently watching on the Index. These paths are shown in green and red on the charts below.

The green path would suggest that the NSEASI has already made a larger degree top in wave (E). This should then result in correction down towards the 38,198.6-35,407.79 zone for wave (D) prior to turning up again into 2018.
The scenarios above suggest that the NSEASI will see higher levels into the end of 2017. It is really just a matter of whether the pattern needs another minor high prior to seeing the larger degree top for wave (E).
The initial move down of the 36,534.34 level was corrective in nature, and the index has so far held over the smaller degree support level of 35,320.12. So for these reasons we still do not have initial confirmation of a top being in place just yet.
The next signal that the NSEASI has indeed topped would come with a breakout of the 37,047.6 level followed by a breakout of the 38,198.6 level. If those two resistance levels can break, then we will once again focus on the 39,200.13 level as the next signal that we have indeed struck a larger degree top for wave (E). Although a break of the 38,214.16 level would signal that we have indeed struck fairly significant top, as long as the Index is able to remain over the long term support levels at 38,198.6-24,426.16, there are still likely higher levels to be seen into 2018 if the government doubles its efforts at driving this growth, staying away from mere sloganeering andavoiding the distractions of the politics of 2019 election activities.

In all these, what is important for you as an investor or trader is knowing when to sell for profit and when to hold cash and just watch for another opportunity that beckons.

https://investdataltd..com.ng/2017/09/taking-advantage-of-market-correction.html

INVESTDATA-PRICE-EARNINGS-TRACKING-FOR-WEEK-ENDED-SEPTEMBER-8-2017

http://investdata.com.ng/2017/09/corporate-action-september-8-2017/#more

CORPORATE ACTION AS AT SEPTEMBER 8, 2017

https://investdataltd..com.ng/2017/09/corporate-action-as-at-september-8-2017.html

CBN Unveils e-Certificate Of Capital Importation

Poised to further enhance transparency and seamless inflow of foreign exchange by way of Foreign Direct of Portfolio investments to the country, the Central Bank of Nigeria (CBN), on Friday announced the deployment of an Electronic Certificate of Capital Importation (eCCI) platform.
A statement titled: Implementation of Electronic Certificate of Capital Importation (eCCI), dated September 7, 2017 and signed by Wuritka Dauda Gotring, director, Trade & Exchange Department of the CBN, said the new platform which replaces the hard copy CCI normally issued in respect of all capital inflows either in form of cash or machinery/equipment
He therefore announced that from Monday, September 11, 2017, “the processing of certificate of Capital Importation in Nigeria shall only be done electronically on the eCCI platform.

http://investdata.com.ng/2017/09/cbn-unveils-e-certificate-capital-importation/#more

Honeywell Targets 20% Market Share Of Flour Milling Business

Stockbrokers Urge Directors To Consider Rights Issue, Reduced Holding
Photo Caption: From left to right, Tony Ibeziako, Head, Domestic Primary Market, The Nigerian Stock Exchange (NSE); Ade Bajomo, Executive Director, Market Operations and Technology, NSE; Lanre Jaiyeola, Group Managing Director, Honeywell Group, Dr. Nino Ozara, Executive Director, Manufacturing, Honeywell Group at the Facts Behind the Figures presentation at the Exchange today in Lagos

The management of Honeywell Flour Mills Plc, on Friday said it has set a market share target of 20% in the coming years, up from the current 12% in an sector that also includes biscuit, bread and pasta segments.
Addressing stockbrokers, analysts and investment journalists on the occasion of the company’s Facts-behind-the-figures to offer details of its latest financials for the year ended March 31, 2017, the Managing Director, Olanrewaju Jaiyeola, noted that the market share computation is based on the nation’s $1.2bn total wheat import bill for the period.
In a bid to reduce the company’s import dependence and foreign exchange demand, he however assured that Honeywell Flour is gradually introducing local content by substituting with home-grown wheat.

“We have milled wheat in our factory,” he said, adding that home-grown wheat is already in every Nigerian meal today in very small quantities, assuring that the company places a high premium on research and development.
As a result, he said the company’s is investment in backward integration to reduce demand for forex used for importing wheat and in the process driving down cost of production, while increasing capacity utilization from between 80 and 85% and enhancing returns on investment. In this way, he stressed, the management is determined “to sweat out our assets by raising capacity utilization,” which is why the Honeywell Foods and Agro-allied Industrial Complex is being constructed at the Sagamu, Ogun State to enable access to incremental capacity, while using technology to drive the entire business process to optimize returns on investment. The first phase of the complex- the pasta plant, he assured would be completed in the 2018 Q1, after which construction of swing mill would commence.
He also assured that the company enjoys evenly spread acceptance across the Nigerian market, with the Northern Nigerian market previously accounting for 53 to 58% share of revenue, followed by Lagos and the South-West contributing 22%; South East, 10% while the rest was from South-South. With Lagos and South-West now accounting for up to 36%; the northern market contributes 42%; and South East, 15%.
He spoke of plans to introduce smaller pack of its products into the market as a way of making them more affordable and further enhancing market penetration.
The management, he continued, is also focused on topline growth through innovation and the number of product offerings to the market, which is why an innovation unit has been established in the company.
Commenting on the 2017 audited financials, the MD said revenue grew by just 5% to N53.228bn and operating expenses fell by 14% from N6.569bn, even as net finance cost jumped by 241% to N2.793bn. This, he said arose from the need to increase working capital following the Naira devaluation within the period, need to cash-back letters of credits and the rising bank charges on import finance facilities, in spite of which net profit stood at N4.3bn from a loss in prior year of N3.02bn, translating to earnings per share of 54 kobo.
The robust growth recorded during the just ended financial year, he continued, is being sustained, judging by the first quarter figures showing that while revenue climbed 83% to N18.27bn and tax expenses by 600% to N161m, net profit for the period ballooned by 537% to N643m or N8.11 EPS.

The challenge today, Jayeola concluded, is “to do more in terms of managing operating costs and looking forward to better returns on investment.
The management was however challenged to impress upon the board, the urgent need to seek fresh funds at a time when the market seems very receptive to rights issues to further drive down cost of finance, while challenging the core investors to consider selling down on its holdings and in the process deepen market participation and liquidity.

http://investdata.com.ng/2017/09/honeywell-targets-20-market-share-flour-milling-business/#more

MARKET UPDATE FOR SEPTEMBER 11, 2017

Nigeria’s stock market started the week weak as revealed by poor technical that consolidated the previous day downtrend. The pre-market open was full of mixed expectations from participants at INVESTDATA seminar held in Abuja over the weekend where investors were taught how to protect their portfolio and profit from market correction as the government is yet to make any form of economic reform policy pronouncement or action that will give support to the recovery economy as statistics figure from the NBS indicated that the nation is out recession, which investors and ordinary man on the street are expecting to see action that will propel growth, knowing that the seeming growth in Q2 was driven by CBN intervention and sustainability is shaking as the fiscal authorities had gone to sleep leaving the whole system in the state of confusion that is gradually building confidence problem again in the market and the economy as 2017 budget implementation style is poor and no impact on the system. The index opened with slight gap up in the morning, then pulled back, in midday to the session lows, but couldn’t make new lows on the index. The loss suffered by high cap stocks backed up the rest of the day consolidation to close lower on a low volume traded as investors are still looking to see actions and moves by the economic managers that guaranty sustainable growth going forward.

The selling pressure continue as revealed by the volume index of 0.39, with a buying position of 11% while selling volume was 89% of the day’s total transaction to support the down market.
Meanwhile, the All Share Index shed 292.30 basis points on Monday to close at 35,664.94 point, up from the 35,953.44 points opening level which represented 0.81% decline on a lower volume traded, when compared to previous session. Similarly, market capitalisation for the day dropped by N100.75 billion to close at N12.29 trillion, from N12.42 trillion in the previous session, representing a 0.81% value loss to continue the two day bear transition.

Downturn in the share price of Dangote Cement, Nestle, Flourmills, Guinness, Okomu Oil, Presco, Guaranty Trust Bank and Double 11 Plc that impacted negatively to reduce the ASI’s year-to-date returns to 32.71%, just as market capitalisationgain stood at N3.05 trillion within the period, representing a 32.94% rise above the year’s opening value.

Market breadth for the day continue it negative position as the number of decliners outnumbered advancers in the ratio of 24:20 on a low volume of trades to sustain a two-day down market.
Market activities in terms of volume and value were down by 24.73% and 29.51% respectively to 114.77 million shares, as against previous day’s 152.47 million units valued at N2.17 billion from the N3.08 billion recorded in the previous session.
Transaction in the shares of Zenith Bank, Access Bank, UACN Property, Diamond Bank and C & I Leasing topped the volume chart.

At the close of the day’s trading session, Newrest ASL topped the advancers’ log, gaining 4.87.%, closing at N6.25 per share, on market forces ahead of Q3 numbers. It was followed by Trancorp with a 4.76% notch at N1.32per share, on positive market sentiments and expectation of reform in power sector to further boost its numbers in the coming months of the year.
On the flipside, Okomu Oil lost 4.92% to close at N59.90 on a profit taking, followed by McNicholes that shed 4.55% to close at N1.26 per unit on market forces.

TODAY’S OUTLOOK
Technically, the week opened weak, on a high volatility that is likely to continue as market opens this morning amidst standing on the sideline attitude of investors, profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of Q3 earnings season and year end, while we expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities to sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.

However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.

Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable.


Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467
https://investdataltd..com.ng/2017/09/market-update-for-september-11-2017.html

MARKET UPDATE FOR SEPTEMBER 12, 2017

SELLING PRESSURE PERSISTS ON NIGERIAN BOURSE, AS INVESTORS POSITION IN GTBANK, NB

Trading on the Nigerian Stock Exchange (NSE) on Tuesday closed lower; extending a three-day bearish consolidation as the index broke down its rising channel to touch the recent strong support level at 35,397.52 and in the process formed a double bottom that supports reversal if sentiment turns positive as market opens this morning. The non-implementation of 2017 budget before now by the government and the style of disbursing funds is poor after such a long time of waiting which has slowed the economic recovery. This largely accounts for the strident doubts Nigerians have continued to express over the recent Q2 GDP data released by the National Bureau of Statistics (NBS) that Nigeria’s economy was out of recession, at 0.55% even as it noted that the growth recorded was yet fragile.

Also, Nigerian pollster- NOIPOLLS published the outcome of a survey report on Tuesday showing that 75% of manufacturers lamented the unholy combination of disincentives such as the high foreign exchange rate amidst the disparity, bad roads, and poor access to credit and weak demand. These, they say continue to affect their operations negatively, a situation blamed on government’s failure to implement its budget in line with its being the highest spender in any economy, especially while funding infrastructural development, thereby driving growth. With just three months to the end this fiscal year, there seems no clear policy direction that would support the growth recorded in the second quarter GDP. This is a source of concern for investors at a time like this, especially with the continued decline in the exchange rate, which would have been worse, but for the ongoing intervention of the Central Bank of Nigeria (CBN).

Also, for some time now, the market has remained volatile, amidst the persisting and even high selling pressure as investors continue cashing out to meet needs associated with this (tuition fees) season as schools reopen for the new session both globally. Nonetheless, smart investors are taking this opportunity to buy ahead of Q3 earnings season and year-end.
Despite the ongoing correction in the market, foreign investors crossed a million shares of Nigerian Breweries at N181 and N183; and 28m units of Guaranty Trust Bank at N37.80 each.
Selling pressure however continued as revealed by the volume index of 1.29, with a buying position of 11% while selling volume was 89% of the day’s total transaction to support the down market.
Meanwhile, the All Share Index shed 267.42 basis points to close at 35,397.52 from the 35,664.94 points opening level which represented a 0.75% decline, just as market capitalisation for the day fell by a further N92.17bn to close at N12.2tr, from N12.29tr in the previous session, representing a 0.75% value loss to continue the three day down market.

The downturn was driven by losses suffered by high cap stocks during the day’s trading that impacted negatively to further reduce the All-Share Index’s year-to-date returns to 31.71%, just as rise in market capitalization YTD fell to N3tr, representing a 31.94% rise above the year’s opening value.
Market breadth for the day remained negative as the number of decliners outpaced advancers in the ratio of 28:18 on a high volume of trades to sustain bear transition.
Market activities in terms of volume and value were up by 225.44% and 165.39% respectively to 359.35m shares, as against the previous day’s 114.77m units, valued at N5.77bn from the N2.17bn recorded in the previous session.

Transaction in the shares of Diamond Bank, Guaranty Trust Bank, Zenith Bank, FBNH and Meyer topped the volume chart.
At the close of Tuesday’s trading session, International brewery topped the advancers’ log with a 6.83% gain to close at N38.00 per share on market forces; followed by NEM Insurance with a 5% notch at N1.05 per share on a positive market sentiment.
On the flipside, Aiico lost 6.78% to close at N0.55 on market forces and profit taking, followed by Flourmills that shed 5% to close at N27.55 per unit on profit taking.

TODAY’S OUTLOOK
Technically, the market so far is weak, on a high volatility that is likely to continue this morning as trading opens until speculators return, with traders likely to remain on the fence, amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of Q3 earnings season and year-end. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.

Again, we advise that investors allow numbers to guide their decisions while re-positioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable

https://investdataltd..com.ng/2017/09/market-update-for-september-12-2017.html

MARKET UPDATE FOR SEPTEMBER 13, 2013

NIGERIAN BOURSE REMAINS WEAK AMIDST HIGH VOLATILITY DESPITE MARGINAL GROWTH

Nigeria’s equity market on Wednesday closed higher after three consecutive trading sessions of down market ahead of August inflation data expected to be released tomorrow by the National Bureau of Statistics (NBS). The figures are likely to be slightly down or flat, against the backdrop of the fact that the poor implementation of the 2017 budget by the Federal Government, even as cost of transportation remains high, despite the claim that petrol price has dropped, due to the deplorable conduction of Nigeria roads which continues to affect movement of agricultural produces from farms to city centres, thereby keeping food prices high in a harvest season.

The NSE All-Share index opened midweek’s trading slightly up in the morning, before pulling back at midday to hit intra-day low of 35,221.27 point, due to losses suffered by high cap stocks as the investing public continued to separate the reality and fiction. This is just as demand remained weighed down as the economy continues to recover from recession and there is nothing new to drive speculative activities in the market at a time quarterly and June year-end dividend paying stocks have unveiled and since delivered on their promise.

The market however closed marginally high by afternoon as demand for consumer goods turned positive to influence the market benchmark index positively, despite the low volume traded and weak technicals that had persisted in the recent weeks.
The double bottom chart pattern formed on a daily time frame that were mentioned in the Tuesday’s update supports reversal if sentiment remain in positive direction as market opens this morning to signal market recovery again.

Buying pressure in the market on Wednesday exceeded selling pressure as revealed by the volume index of 0.43, with a buying position of 100%, while selling volume was 0% of the day’s total transaction to support the up market.
Meanwhile, the composite Index NSEASI gained 66.82 basis points to close at 35,46434 from the 35,397.52 points opening level which represented a 0.19% growth, just as market capitalisation for the day went up by N23.03bn to close at N12.22tr, from N12.2tr in the previous session, representing a 0.19% value gain to halt the three days losing streak.
Price appreciation in consumer goods stocks like Unilever, Nestle, NB, Dangote Sugar, Cadbury and others impacted positively to boost the All-Share Index’s year-to-date returns to 31.97%, just as rise in market capitalisation YTD was up to N3.01tr, representing a 32.10% rise above the year’s opening value.

Market breadth for the day remained negative as the number of decliners outnumbered advancers in the ratio of 21:16 on a low volume of trades to reverse the bear transition.
Market activities in terms of volume and value turned down by 67.90% and 69.74% respectively to 119.9m shares, as against the previous day’s 359.35m units, valued at N1.74bn from the N5.77bn recorded in the previous session.
Transactions in the shares of Access Bank, Zenith Bank, Fidelity Bank, FBNH and Oando topped the volume chart.

At the close of the day’s trading session, Unilever Nigeria topped the advancers’ log with a 4.76% gain to close at N44 per share on market forces and improving earnings; followed by NEM Insurance with a 4.76% notch at N1.10 per share on a positive market sentiment.
On the flipside, Presco lost 4.99% to close at N60.8 on profit taking, followed by Oando that shed 4.89% to close at N6.42 per unit on profit taking.

TODAY’S OUTLOOK
Technically, the market so far is weak, on a high volatility that is likely to continue this morning as trading opens until speculators return, with traders likely to remain on the fence, amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of August inflation figure, Q3 earnings season and year-end. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

https://investdataltd..com.ng/2017/09/market-update-for-september-13-2013.html

MARKET UPDATE FOR SEPTEMBER 13, 2013

NIGERIAN BOURSE REMAINS WEAK AMIDST HIGH VOLATILITY DESPITE MARGINAL GROWTH

Nigeria’s equity market on Wednesday closed higher after three consecutive trading sessions of down market ahead of August inflation data expected to be released tomorrow by the National Bureau of Statistics (NBS). The figures are likely to be slightly down or flat, against the backdrop of the fact that the poor implementation of the 2017 budget by the Federal Government, even as cost of transportation remains high, despite the claim that petrol price has dropped, due to the deplorable conduction of Nigeria roads which continues to affect movement of agricultural produces from farms to city centres, thereby keeping food prices high in a harvest season.

The NSE All-Share index opened midweek’s trading slightly up in the morning, before pulling back at midday to hit intra-day low of 35,221.27 point, due to losses suffered by high cap stocks as the investing public continued to separate the reality and fiction. This is just as demand remained weighed down as the economy continues to recover from recession and there is nothing new to drive speculative activities in the market at a time quarterly and June year-end dividend paying stocks have unveiled and since delivered on their promise.

The market however closed marginally high by afternoon as demand for consumer goods turned positive to influence the market benchmark index positively, despite the low volume traded and weak technicals that had persisted in the recent weeks.
The double bottom chart pattern formed on a daily time frame that were mentioned in the Tuesday’s update supports reversal if sentiment remain in positive direction as market opens this morning to signal market recovery again.

Buying pressure in the market on Wednesday exceeded selling pressure as revealed by the volume index of 0.43, with a buying position of 100%, while selling volume was 0% of the day’s total transaction to support the up market.
Meanwhile, the composite Index NSEASI gained 66.82 basis points to close at 35,46434 from the 35,397.52 points opening level which represented a 0.19% growth, just as market capitalisation for the day went up by N23.03bn to close at N12.22tr, from N12.2tr in the previous session, representing a 0.19% value gain to halt the three days losing streak.
Price appreciation in consumer goods stocks like Unilever, Nestle, NB, Dangote Sugar, Cadbury and others impacted positively to boost the All-Share Index’s year-to-date returns to 31.97%, just as rise in market capitalisation YTD was up to N3.01tr, representing a 32.10% rise above the year’s opening value.

Market breadth for the day remained negative as the number of decliners outnumbered advancers in the ratio of 21:16 on a low volume of trades to reverse the bear transition.
Market activities in terms of volume and value turned down by 67.90% and 69.74% respectively to 119.9m shares, as against the previous day’s 359.35m units, valued at N1.74bn from the N5.77bn recorded in the previous session.
Transactions in the shares of Access Bank, Zenith Bank, Fidelity Bank, FBNH and Oando topped the volume chart.

At the close of the day’s trading session, Unilever Nigeria topped the advancers’ log with a 4.76% gain to close at N44 per share on market forces and improving earnings; followed by NEM Insurance with a 4.76% notch at N1.10 per share on a positive market sentiment.
On the flipside, Presco lost 4.99% to close at N60.8 on profit taking, followed by Oando that shed 4.89% to close at N6.42 per unit on profit taking.

TODAY’S OUTLOOK
Technically, the market so far is weak, on a high volatility that is likely to continue this morning as trading opens until speculators return, with traders likely to remain on the fence, amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of August inflation figure, Q3 earnings season and year-end. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable

The workshop video is available and it can be viewed on your phone, laptop and television set.

https://investdataltd..com.ng/2017/09/market-update-for-september-13-2013.htm
Thursday, 14 September 2017

INVESTDATA PRICE & EARNINGS TRACKING FOR THE WEEK ENDED SEPTEMBER 15,2017

https://investdataltd..com.ng/2017/09/investdata-price-earnings-tracking-for_19.html

CORPORATE ACTION SEPTEMBER 12 - OCTOBER 16, 2017

https://investdataltd..com.ng/2017/09/corporate-action-september-12-october.html

MARKET UPDATE FOR SEPTEMBER 13, 2013


NIGERIAN BOURSE REMAINS WEAK AMIDST HIGH VOLATILITY DESPITE MARGINAL GROWTH

Nigeria’s equity market on Wednesday closed higher after three consecutive trading sessions of down market ahead of August inflation data expected to be released tomorrow by the National Bureau of Statistics (NBS). The figures are likely to be slightly down or flat, against the backdrop of the fact that the poor implementation of the 2017 budget by the Federal Government, even as cost of transportation remains high, despite the claim that petrol price has dropped, due to the deplorable conduction of Nigeria roads which continues to affect movement of agricultural produces from farms to city centres, thereby keeping food prices high in a harvest season.

The NSE All-Share index opened midweek’s trading slightly up in the morning, before pulling back at midday to hit intra-day low of 35,221.27 point, due to losses suffered by high cap stocks as the investing public continued to separate the reality and fiction. This is just as demand remained weighed down as the economy continues to recover from recession and there is nothing new to drive speculative activities in the market at a time quarterly and June year-end dividend paying stocks have unveiled and since delivered on their promise.

The market however closed marginally high by afternoon as demand for consumer goods turned positive to influence the market benchmark index positively, despite the low volume traded and weak technicals that had persisted in the recent weeks.
The double bottom chart pattern formed on a daily time frame that were mentioned in the Tuesday’s update supports reversal if sentiment remain in positive direction as market opens this morning to signal market recovery again.

Buying pressure in the market on Wednesday exceeded selling pressure as revealed by the volume index of 0.43, with a buying position of 100%, while selling volume was 0% of the day’s total transaction to support the up market.
Meanwhile, the composite Index NSEASI gained 66.82 basis points to close at 35,46434 from the 35,397.52 points opening level which represented a 0.19% growth, just as market capitalisation for the day went up by N23.03bn to close at N12.22tr, from N12.2tr in the previous session, representing a 0.19% value gain to halt the three days losing streak.
Price appreciation in consumer goods stocks like Unilever, Nestle, NB, Dangote Sugar, Cadbury and others impacted positively to boost the All-Share Index’s year-to-date returns to 31.97%, just as rise in market capitalisation YTD was up to N3.01tr, representing a 32.10% rise above the year’s opening value.

Market breadth for the day remained negative as the number of decliners outnumbered advancers in the ratio of 21:16 on a low volume of trades to reverse the bear transition.
Market activities in terms of volume and value turned down by 67.90% and 69.74% respectively to 119.9m shares, as against the previous day’s 359.35m units, valued at N1.74bn from the N5.77bn recorded in the previous session.
Transactions in the shares of Access Bank, Zenith Bank, Fidelity Bank, FBNH and Oando topped the volume chart.

At the close of the day’s trading session, Unilever Nigeria topped the advancers’ log with a 4.76% gain to close at N44 per share on market forces and improving earnings; followed by NEM Insurance with a 4.76% notch at N1.10 per share on a positive market sentiment.
On the flipside, Presco lost 4.99% to close at N60.8 on profit taking, followed by Oando that shed 4.89% to close at N6.42 per unit on profit taking.

TODAY’S OUTLOOK
Technically, the market so far is weak, on a high volatility that is likely to continue this morning as trading opens until speculators return, with traders likely to remain on the fence, amidst profit booking and repositioning in hope that the positive macro-economic indices will drive optimism in equity investments ahead of August inflation figure, Q3 earnings season and year-end. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP, to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.

Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, be reminded once more that industry potential, market timing are very important when picking a stock, because there are factors that are sector-specific and would naturally impact positively or negatively on companies operating within such an industry, especially now that the economy is recovering. Market is in phases know it in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this oscillating market or pullbacks sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
Get your home study pack today and ride with the current recovery on Nigeria’s stock market and economy. By investing and trading knowledgeable


Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

https://investdataltd..com.ng/2017/09/market-update-for-september-13-2013.html

MARKET UPDATE FOR SEPTEMBER 18, 2017


Nigeria’s Weak Market Struggle To Recover, As Speculators Await MPC Hints
The nation’s stock market index had an interesting but mixed session on Monday to start the week as it finally breakdown the psychological line of 35,000 to remain under the rising channel and downtrend line on a low volume traded.
The day started out with a little move up, then pulled back and consolidated until midday, before the afternoon rollover took them down sharply with the benchmark index falling to 34,873.07 after touching an intraday high of 35,105.67 and low of 34,744.96 points, then rallied back in the last hour, before taking back about 95% of the losses. Still, it was a mixed session. As the NSE Banking and NSE Insurance closed in the green while others moved in the same direction as the NSEASI.

As the market waits for the outcome of the Monetary Policy Committee (MPC) meeting today to provide direction as to what other monetary policy initiatives would help sustain the ongoing Central Bank of Nigeria (CBN) intervention in the FX market as part of efforts to stabilize the exchange rate and continue supporting the fragile economic recovery. The decision of the meeting will also pave way for readmission of Nigeria into Morgan Stanley Emerging market Index in November. Since the market is equally expecting the fiscal authorities to do the needful with actions to implement the 2017 budget to ensure it makes impact on the whole system in the few remaining months of the year, while boosting the ongoing economic recovery efforts.

With selling pressure in the market reducing as revealed by the volume index of 0.65, a buying position of 36%, and 64% selling volume of the day’s transaction to sustain the down market.
Meanwhile, the All Share Index shed 132.50 basis points to close at 34,873.07 from the 35,005.57 points opening level which represented a 0.38% decline, just as market capitalisation for the day was down by N46.48bn to close at N12.02tr, from N12.07tr in the previous session, representing a 0.38% value loss to continue the bear transition.
The downturn in the share prices of consumer goods and petroleum stocks impacted negatively to reduce the All-Share Index’s year-to-date returns to 29.76%, just as rise in market capitalisation YTD stood at N2.77tr, representing a 30.01% above the year’s opening value.
Market breadth for the day remained negative as the number of decliners outpaced advancers in the ratio of 18:14 on a low volume traded but higher than the previous day to continue the correction mood in a weak market.

Market activities in terms of volume and value were mixed with volume rising marginally by 1.62% to 162.74m shares, as against the previous day’s 160.12m units, while value was down by 47.95% to N1.54bn from the N2.96bn recorded in the previous session.
Transactions in the shares of Access Bank, Meyer, Fidelity Bank, FBNH and FCMB topped the volume chart.
At the close of the day’s trading session, Newrest ASL topped the advancers’ log with a 4.92% gain to close at N6.82 per share on market forces and earnings expectation; followed by Cadbury with a 4.66% notch at N11.00 per share on market forces.
On the flipside, Neimeth Pharmaceuticals lost 8.57% to close at N0.64 on profit taking, followed by Seplat Petroleum Development Company, which shed 5% to close at N456.76 per unit on profit taking and market sentiment.
TODAY’S OUTLOOK
Technically, the market is weak and struggling to recover on a high volatility that is likely to continue this morning as trading opens, but still waiting for positive news and return of speculators to the market to breakout the downtrend line, amidst profit booking and repositioning in hope that the positive macro-economic indices. These will drive optimism in equity investments ahead of MPC meeting outcome, Q3 earnings season and year-end. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP and August inflation rate to make growth and development a reality.
However, investors need not panic if they take position based on strong numbers and future prospects of any stock as smart investors are using this correction to accumulate and increase their positions in some stocks.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.
Meanwhile, Plan to attend the Independent Day Free Investment Education Summit jointly organized by Apt Securities & Funds Ltd/Investdata Consulting Ltd, because real independent is financial freedom.

Theme: PROFITABLE STOCK MARKET TRADING STRATEGIES FOR FINANCIAL INDEPENDENCE AND FREEDOM
Have you traded the stock market before and failed? It is a known fact that about 90% of people who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time.
You don’t have to be one of them.
Therefore, when you attend this Independent Day Free Investment Education Summit this seminar and learn how to trade such that you could be one of the lucky 10%, who manage to consistently play the market profitable by themselves through our online portal from your phone and laptop anywhere in the world.

Consistency is the key to equity trading and investing successfully.
At Apt securities and investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market conduction, especially when it comes to equipping them well enough to know how to protect their portfolios and profit from market correction in a recovering economy and market.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.

Attend the Independent Day Free Investment Education Summit and our team of expert and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.

The workshop holds on:
DATE: October 2. 2017
TIME: 10am – 2.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

What you will learn at this the Independent Day free workshop:
1. The fundamentals of stock trading and investing
2. Trading and investing strategies that will help you manage your risk, protect your capital and profit from market correction.
3. How to trade on your own online, using the APT e-Trade platform on your phone and laptop.
4. The psychology of trading and investing and how it will make you successful.

Registration fee is just N1500 that is refundable at the venue after the workshop.

For more enquiries about the programme, please call 08032055467, 08179547605, and 08111811223

Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

https://investdataltd..com.ng/2017/09/market-update-for-september-18-2017.html

MARKET UPDATE FOR SEPTEMBER 20, 2017




NIGERIAN MARKET REBOUNDS, BUT REMAINS WEAK, VOLATILE AS INVESTORS WATCH FOR DIRECTION

As envisaged, the Nigeria stock market index on Wednesday closed higher, despite the mixed session and technical, halting three trading sessions of bear-run as volatility continued.
In the morning hours, the composite index had a little bit of up movement, but came down as market went into the midday and rallied back by afternoon powerfully to touch the intraday high of 35,207.89 thereby breaking out the psychological line of 35,000 again from the day low of 34,729.78 on a volume below the trading average. It was a very significant rise that took the index above the recent resistant level of 35,005.57, which was a very sharp retracement.
Just as we mentioned in our update for Wednesday, the reduction in the losing magnitude of the market will usher in rebound with volume traded gradually looking, even if it came down on Thursday. The market breadth tightened in a ratio that is almost at equilibrium to that support, from where it either crosses to positive territory or continues in negative direction. But as the market approaches the last trading week of Q3 to usher in the earnings season month and the last quarter of the year, it is expected that speculators will return to the market to trade the earnings season which is likely to reverse the current low volume being traded in the up direction to confirm this rebound and support market recovery.

The strong buying pressure on Wednesday was positive if sustain as revealed by the volume index of 0.56, with buying position of 100%, and 0% selling volume of the day’s transaction to usher in up market.
Meanwhile, the All Share Index gained 361.07 basis points to close at 35,207.89 from the 34,846.82 points opening level which represented a 1.04% growth, just as market capitalisation for the day went up by N124.47bn to close at N12.14tr, from the previous session’s value of N12.01tr, representing a 1.04% value gain to reduce the loss position in investor portfolios.
The upturn in the share prices of high cap stocks amongst which are: NB, Total Nigeria, Dangote Cement, Dangote Sugar, Oando, 7-Up, Access Bank, Guaranty Trust Bank, FBNH and Zenith Bank, which impacted positively to boost the All-Share Index’s year-to-date returns to 31.01%, just as market capitalisation year-to-date gains stood at N2.89tr, representing 31.25% above the year’s opening value.

Market breadth for the day was marginally negative as the number of decliners outpaced advancers in the ratio of 20:19 on a low volume traded that was lower than the previous day’s level to halt market losing streak.
Market activities in terms of volume and value were down by 21.36% and 59.92% respectively to 137.35m shares, as against the previous day’s 174.66m units and N1.13bn from the N2.83bn recorded in the previous session.
Transactions in the shares of Meyer, Access Bank, Transcorp, FCMB and Fidelity Bank topped the volume chart.
At the end of the day’s trading session, May & Baker topped the advancers’ table with a 4.92% gain to close at N2.77 per share on market forces and expectation of Q3, followed by Continental Reinsurance with a 4.90% notch at N1.50 per share on Q3 earnings expectation and expected wind of merger in the insurance industry.
On the flipside, NPF Micro Finance lost 5.17% to close at N1.10 on market forces, followed by National Salt, which shed 5.00% to close at N12.35 per unit on profit taking.

TODAY’S OUTLOOK
Technically, the market is still weak, despite the rebound yesterday until a breakout of the downtrend line, which confirms recovery. The volatility in the market is expected to continue as trading opens this morning, amidst profit taking and repositioning ahead of September month end, Q3 earnings season and year-end.
We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that will help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP and further help to drive inflation numbers down faster than the August level to make growth and development a reality.
Investdata believes the time has come for the Federal Government to stop telling Nigerians and Foreign investors’ stories that seem different from reality on ground and work towards improving the living conditions of the Nigerian peoples by putting the infrastructure that will enhance economic development. It is time to work the talk, and begin to stimulate the economy, despite the delay so far.

However, investors need not panic if they take position based on strong numbers and future prospects of any stock. One thing that is clear in the current market situation is that smart investors are using the ongoing correction to accumulate and enhance their positions in some stocks.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year’s trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals. It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, Plan to attend the Independent Day Free Investment Education Summit jointly organized by Apt Securities & Funds Ltd/Investdata Consulting Ltd, because real independent is financial freedom.

Theme: PROFITABLE STOCK MARKET TRADING STRATEGIES FOR FINANCIAL INDEPENDENCE AND FREEDOM
Have you traded the stock market before and failed? It is a known fact that about 90% of people who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time.
You don’t have to be one of them.
Therefore, when you attend this Independent Day Free Investment Education Summit this seminar and learn how to trade such that you could be one of the lucky 10%, who manage to consistently play the market profitable by themselves through our online portal from your phone and laptop anywhere in the world.

Consistency is the key to equity trading and investing successfully.
At Apt securities and investdata we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market conduction, especially when it comes to equipping them well enough to know how to protect their portfolios and profit from market correction in a recovering economy and market.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Independent Day Free Investment Education Summit and our team of expert and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.

The workshop holds on:
DATE: October 2. 2017
TIME: 10am – 2.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

What you will learn at this the Independent Day free workshop:
1. The fundamentals of stock trading and investing
2. Trading and investing strategies that will help you manage your risk, protect your capital and profit from market correction.
3. How to trade on your own online, using the APT eTrade platform on your phone and laptop.
4. The psychology of trading and investing and how it will make you successful.

Registration is free
There will be sales of stock trading and investing materials for further understanding at the end of the workshop, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set, all at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom.
For more enquiries about the programme, please call 08028164085, 08034053018 and 08111811223

https://investdataltd..com.ng/2017/09/market-update-for-september-20-2017.html

MARKET UPDATE FOR SEPTEMBER 21, 2017




The nation’s stock market on Thursday was highly volatile to close lower on improved technical indicators that are yet to confirm direction as market sentiment remained mixed as shown by the volume index of 1.70, with buying position of 21%, and 79% selling volume of the day’s transaction to halt the previous day up market.

The index had an oscillating session with little growth as the trading opened, then a sharp rally in the midday to intraday high of 35,411.85 from the day low of 35,128.03, but then pulled back in the afternoon to finish slightly negative for the day on a very high volume with first positive market breadth in the five trading sessions.

This high volume was driven by transaction in Guaranty Trust Bank with 171.82 million shares valued at N6.70 billion to close at N38.95.
Just as we mentioned in our update yesterday, the market breadth turned positive to strengthen market technicals with high volume but yet to confirm reversal trend as sentiments are mixed ahead of MPC meeting decision next week, month end window dressing by fund managers and Q3 earnings season that usher in the last quarter of the year.

It is expected that speculators would return to the market to trade the earnings season which is likely to support uptrend reversal in no a distant time. If the monetary and fiscal authorities would take actions that would sustain this fragile economic growth recorded in Q2.

Meanwhile, the composite Index NSEASI shed 18.92 basis points to close at 35,188.97 from the 35,207.89 points opening level which represented a 0.05% decline, just as the market capitalisation for the day dropped by N6.53 billion to close at N12.13 trillion, from the previous session’s value of N12.14 trillion, representing a 0.05% depreciation in investors portfolios.

Downturn suffered in the share prices of Total Nigeria, Dangote Cement, Dangote Sugar, Oando, Dangote Flour, Access Bank, Flourmills, Okomu Oil and Zenith Bank, reduced the All-Share Index’s year-to-date return to 30.95%, just as the market capitalisation year-to-date gain stood at N2.88 trillion, representing 31.18% above the year’s opening value.

Market breadth for the day was positive as the number of advancers outnumbered decliners in the ratio of 25:20 on a very high volume traded that was higher than the previous day’s level to halt the one day bull market.
Market activities in terms of volume and value were up by 212.59% and 665.42% respectively with an exchange of 429.22 million shares worth N8.68 billion, as against the previous day’s 137.35 million units valued at N1.13 billion recorded in the previous session.


Transactions in the shares of Guaranty Trust Bank, Access Bank, JaizBank, FCMB and Zenith Bank topped the volume chart. At the close of the day’s trading session, Neimeth topped the advancers’ log with a 4.97% gain to close at N0.64 per share on market forces, followed by NEM Insurance with a 4.46% notch at N1.17 per share on Q3 earnings expectation.


On the flipside, Aiico Insurance lost 5.36% to close at N0.53 on market forces, followed by Champion Breweries, which shed 5.35% to close at N2.30 per unit on market forces.

TODAY’S OUTLOOK
Technically, market is still searching for direction, despite the improved technicals yesterday until a breakout of the downtrend line, which confirms recovery.

The volatility in the market is expected to continue as trading opens this morning, amidst profit taking and repositioning ahead of MPC decision next week, September month end, Q3 earnings season and year-end activities. We expect the Nigerian government to review its 2017 budget implementation strategy and put in place some fiscal measures that would help the monetary authorities sustain the ongoing economic recovery as shown by the positive but fragile GDP to further help to drive inflation numbers down faster than the August level to make growth and development a reality.

Investdata believes the time has come for the Federal Government to stop telling Nigerians and foreign investors’ stories that seem different from the reality on ground. Government should work towards improving the living conditions of the citizenry with the right infrastructure to enhance economic development.
It is time to work the talk, and begin to stimulate the economy, despite the delay so far. However, investors need not panic if they take position based on strong numbers and future prospects of any stock.

One thing that is clear in the current market situation is that smart investors are using the ongoing correction to accumulate and enhance their positions in some stocks.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals.

It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, Plan to attend the Independent Day Free Investment Education Summit jointly organised by APT Securities & Funds Ltd/Investdata Consulting Ltd, because real independent is financial freedom.

Theme: PROFITABLE STOCK MARKET TRADING STRATEGIES FOR FINANCIAL INDEPENDENCE AND FREEDOM
Have you traded the stock market before and failed? It is a known fact that about 90% of people who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time.
You don’t have to be one of them. Therefore, when you attend this Independent Day Free Investment Education Summit this seminar and learn how to trade such that you could be one of the lucky 10%, who manage to consistently play the market profitable by themselves through our online portal from your phone and laptop anywhere in the world. Consistency is the key to equity trading and investing successfully.
At APT Securities and InvestData we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market conduction, especially when it comes to equipping them well enough to know how to protect their portfolios and profit from market correction in a recovering economy and market.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Independent Day Free Investment Education Summit and our team of expert and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.

The workshop holds on:
DATE: October 2. 2017
TIME: 10am – 2.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

What you will learn at this the Independent Day free workshop:
1. The fundamentals of stock trading and investing
2. Trading and investing strategies that will help you manage your risk, protect your capital and profit from market correction.
3. How to trade on your own online, using the APT eTrade platform on your phone and laptop.
4. The psychology of trading and investing and how it will make you successful.

Registration is free
There will be sales of stock trading and investing materials for further understanding at the end of the workshop, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set, all at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom.
For more enquiries about the programme, please call 08028164085, 08034053018 and 08111811223

Ambrose Omordion
https://investdataltd..com.ng/2017/09/market-update-for-september-21-2017.html

INVESTDATA PRICE & EARNING TRACKING FOR THE WEEK ENDED SEPTEMBER 22, 2017

https://investdataltd..com.ng/2017/09/investdata-price-earning-tracking-for.html

ACCESS BANK Q2: BLOATING INTEREST, TAX EXPENSES, AMIDST SHRINKING TRADING, COMMISSION INCOME


Access Bank recently presented its audited report for half-year ended June 30, 2017, in keeping with its post-listing requirement. The result revealed that top and bottom line were in the north direction, beating market expectations slightly, however came some days later than that of 2016.
Investors did not however react to the numbers due to the general lull in the market, just as investors and traders had already factored in the interim dividend offered by the directors before the official release of the financials.
The bank recorded a loss of N3.65bn in the process of securities trading, compared with its N33.09bn gain in the corresponding period of 2016, despite the high yield fixed income environment. This view suggests that management prefer derivative instruments which did not support its bottom line for the period under review. The total impaired loans and advances was N45.50bn, up from N36.61bn in 2016, thereby increasing the bank’s total loan loss, thereby raising risk assets to 2.48% from 1.97% in the previous half year.

FX revaluation gain of N59.02bn for the period boosted the bank’s profitability from the preceding N11.11bn loss in 2016, just as the interbank FX rate has stabilized helped by the continued CBN intervention in the FX market that had made the investors and exporters window robust to support inflows of funds into the economy.
The real numbers released in comparison to 2016 showed growth that revealed the strength of the bank, its profitability and investment ratios.
Gross Earnings for the period grew by 41.70% to N246.38bn from N174.01bn in 2016, while profit after tax was up by 17.3% from N33.64bn in 2016 to N39.46bn, irrespective of the 29.61% drop in fees and commission income to N25.08bn from N35.63bn in 2016. Income tax expenses went up by 21.53% from N10.36bn in 2016 to N12.59bn, with other operating expenses growing by 44.67 % to N69.14bn from N47.79bn revealing that the operating environment is still harsh due to infrastructural problem that is eaten up profit, pushing many companies into the red. In all, the result turned out good, considering the several tight economic regime within which the financial institutions operated through the reported quarter.

ACCESS BANK PLC
HALF- YEAR AUDITED REPORT 2017
COY
2016
2017
(N)
(N)
% Chg

Date Released
August 19, 2016
August 23, 2017

Price as at Released Date
5.34
9.85
84.46

Gross Earnings
174,011,869,000
246,575,403,000
41.70

Profit After Tax
33,637,748,000
39,459,944,000
17.30

Shareholders' Fund
428,616,604,000
480,480,539,000
12.10

Dividend ( Interim )
0.25
0.25

ESTIMATED RATIOS
Earnings Per Share
1.16
1.36
17.24

PE Ratio
1.15
1.81
57.39

Earnings Yield (%)
21.78
13.85
-36.41

Book Value
14.82
16.61
12.08

Price To Book (P/B)
0.36
0.59
63.89

ROE (%)
7.85
8.21
4.59

Profit Margin (%)
19.33
16.00
-17.23

Year End
Dec
Dec

Source: Investdata Research, NSE and Company Report

The bank’s earnings trended up from Q1 to Q2, indicating that it could surpass full-year estimates, helped by the implementation of the five-year strategic rolling plans that would further expand operations within and outside Nigeria to boost performance that will create more value for shareholders and the banking public. It must be noted also that the bank’s investment in infrastructure to strengthen operation and product offerings supported its speed, services and security position at all time had started yielding results.

Access Bank’s price action for more than a year has formed a bullish channel with positive sentiments supporting the uptrend, despite pockets of pullbacks as a result of profit taking by traders at different intervals. The bank’s strong numbers and low valuation has continued to attract investors, but the recent double top chart pattern formation that had supported this ongoing correction as a result of profit taking has created opportunity for repositioning ahead of earnings season speculating trading. Investors with long term goals should position in stages as the stock is now trading at a discount, considering its price to book ratio of 0.59x.

Valuation
Access Bank looks very attractive at the current market value, as it currently trades with trailing Price to Earnings (P/E) ratio of 1.81x and profit margin of 16%, while the return on equity for the period stood at 8.21%, with full year projection of 20% ROE as the economy sustain it recovery if the needful is done by the fiscal authorities.
Consequently, we forecast an EPS of ₦3.00 for FY’17 and raise our Target Price (TP) to ₦14.12 per share.
Access Bank trades at FY’17 P/B: 1.2x and P/E: 3.64x, even as we equally retain our BUY position for traders and investors.

Analysts Opinion/Recommendations

The bank’s profitability and investment ratios for Q2 is good to drive price but improvement in subsequent numbers would help to sustain uptrend, after the expected pull back. The stock looks attractive to traders due its innovativeness for which it has been known over the year.
On the other hand, the management’s plan to further strengthen its presence in other Africa countries is a good move that would help to diversify its operational bases and further boost bottom line to hold price. As the bank’s Q3 Earnings Per Share (EPS) is projected to be in the region of N2.05 kobo.

ACCESS
Share Holding Structure

Stanbic Nominees Nigeria Limited
18.92%

Access Bank Staff Investment Trust Scheme
5.76%

Other Nigerian Citizens & Association.
75.32%

Other Statistics Shares Outstanding
28,927,971,631

Opening Price (2017)
5.87

Closing Price (2017) as at Sept, 15, 2017
9.90

Date Listed
18/11/1998

Year End
31st December

Source: Investdata Research, NSE and Company Report

The bank’s proactive nature and management style has influenced all aspects of its operations as reflected in the recent numbers posted in recent years. This impressive performance from the bank after taking strategic positions that saw its price in an oscillating mood, thereby creating wealth for traders that bought low and sold high on the trendy movement before the current retracement sustained as investors sold to meet need at this point which slow down the price rally for now after recording 84.5% gain as at released date of 2016 to that of 2017.
In the same direction, the bank’s shareholders fund has grown from N428.62bn in 2016 to N480.48bn. Investor confidence and strong numbers from the bank supported its price as valuation tools placed Access Bank's stock at N15, representing a 51% upside potential from the current market value of N9.90.

ACCESS BANK FOUR YEARS FINANCIAL PERFORMANCE

2013

2014

2015

2016

Date Released
April 07, 2014
March 13, 2015
March 17, 2016
March 6, 2017

Price @ Released Date
7.33
6.10
4.35
6.82

Gross Earnings
206,786,000,000
245,383,536,000
337,404,230,000
381,320,780,000

Profit After Tax
36,298,000,000
42,976,212,000
65,868,773,000
71,439,347,000

Shareholders' Fund
244,482,000,000
277.411000,000
367,801,467,000
454,494,580,000

Dividend
0.60
0.60
0.55
0.65

Source: Investdata Research, NSE and Company Report

Four-Year Financial Performance Analysis

The bank’s performance in the past four years shows gross income on year-on-year basis increased from N206.79bn in 2012 to N381.32bn in 2016, representing 84.4% rise for the period. The post-acquisition impact and aggressive leadership style, which follows the strategic plans and implementation has supported this up trending earnings so far in the last four years. Despite this improvement in gross earnings, it is obvious that profit margin for the period under consideration has been fluctuating, reflecting the high operating cost and provisions for bad loans.
Innovation and change in management style has improved service delivery, regardless of the over-regulation in the banking sector and headwinds that come with the economic recession that piled pressure on the sector’s earnings capacity in recent times.
The Dividend Yield of 6.82% is a laudable achievement, considering how many times the sector has been downgraded by international rating agencies, following the downgrade of the sovereign (Nigeria) where these banks operate. The earnings account for 32% of the market price as at the released date. Thus the period for return on investment has been volatile as shown in the table above.
The key profitability and value indicators like Net Asset has continued to rise on a yearly basis, corresponding to the estimated Book Value that grew to N15.71 from N10.68 in 2013, which is significantly above the N6.51 per share market value.

ACCESS BANK- ESTIMATED RATIOS
2013
2014
2015
2016

Earnings Per Share
1.59
1.88
2.28
2.47

PE Ratio
4.62
3.25
1.91
2.76

Earnings Yield (%)
21.64
30.79
52.34
36.21

Book Value
10.68
12.12
12.71
15.71

Price To Book
0.81
0.57
0.34
0.43

ROE (%)
15.00
15.49
17.91
15.72

Profit Margin (%)
17.55
17.53
19.52
18.73

Year End
Dec
Dec
Dec
Dec

Source: Investdata Research, NSE and Company Report
Estimated Performance Ratios
The bank’s earnings per share for the four-year period increased, reflecting its earnings power, despite the additional shares at post-acquisition which did not dilute the EPS for the period under review. The amount earned per share increased from 159 kobo in 2013 to 247 kobo in 2016. The improved earnings within the period has reduced investors waiting period due to changes in share price as recoupment period has declined from 4.62x in 2013 to 1.91x in 2015 before adjusting up in the recent report as a result of the N6.82 market value as at released date.
Price to Book Value for the period dropped to 0.34x in 2015 from 0.81x in 2013, before moving up again in 2016 to 0.43x to reveal the inherent value in Access Bank. Also, there is a high margin of safety for investors looking the way of this stock at current market price. Earnings Yield, Return on Equity and Profit Margin were up from 2013 but down from previous year’s figures. On the strength of the figures posted and consistent dividend payout for the past four years, the stock is fairly priced at N15.

https://investdataltd..com.ng/2017/09/access-bank-q2-bloating-interest-tax.html

CORPORATE ACTION FOR 14TH JULY - OCTOBER 26TH, 2017

https://investdataltd..com.ng/2017/09/corporate-action-for-14th-july-october.html

TECHNICAL POSITION OF NIGERIA STOCK EXCHANGE SECTORIAL INDEXES TRADING RANGE

This week is the last in the third quarter of 2017 and would offer a deeper insight into what should be expected from companies in different sector of the economy at year-end.
Therefore, take a look at the sectorial indexes chart below to know where to buy against the quarter end and indeed the last quarter of the year, considering market performance and economic recovery so far. Knowing that the market has gone ahead of the economy because it came out of a three-year recession before the economy due to positive sentiment that followed full-year 2016 and first half of 2017 earnings season that beat market estimates and expectations. This is in addition to the apex bank’s intervention in the foreign exchange market that attracted more inflow and liquidity into the market.

This week, we are looking at the weekly index action in major sectors of the market, given that the recently released positive economic data did not impact the market as sentiment remained mixed.
That notwithstanding, the weekly technicals appear stronger to support the recovery but is still trading below the yellow downtrend line. There was an increase in the volume and price movers in the week under review, with market volume index of 0.72 and buying position of 100%, and 0% selling volume for the week’s transaction to halt the previous week’s down market.
Activities last week show that some sectors had broken down support but with attempt to rebound, just as volume breakout was also strong, coming above or below its 20 and 50-day moving average.
From a technical perspective, market reversal is imminent in the short run; just buy to ride the trend with good understanding of resistant and support to know when to sell for profit and when to buy at low.

NSEASI WEEKLY TIME FRAME

The NSE ASI on a weekly time frame has sustained its down-trending, but signals imminent rebound on positive sentiments despite still trading below the downtrend line. The index breakout of the downtrend line on daily time frame is as a result of increased momentum from traders and investors repositioning for quarter end rally and Q3 numbers ahead.
The recent correction of the index remained strong but the trending ability of the market on weekly and daily time frame is strong with ADX above 20 for the period at 45.46 and 21.20 respectively.
Traders should watch out for a breakout of the yellow downtrend line as more speculators return to trade the quarter end and Q3 earnings season, while trading with caution ahead of the two-day Monetary Policy Committee (MPC) meeting that opens today. Watch out for the first resistance level at 35,756.80 and the second at 36,095.12 point, and any move down to 35,188.07 and 34,856.34 respectively.
Looking at technical indicators, the NSEASI closed below the upper band by 35.8%, while MACD is a day bearish, just as the RSI is reading 62.67 relatively on overbought region. Money flow index on a weekly time frame is turning up, while daily, it is looking up to indicate that funds are entering the market. The momentum indicators like RSI, CCI, MACD and SO are signaling SELL. Despite the weak market as a result of ongoing correction, the NSE’s composite index is still trading above it 20 and 50 day moving average.

NSE BANKING INDEX

As you can see, the banking index is trading above its 20 and 50-day moving average with strong positive market sentiments for the industry as the sector’s volume index of 0.73 with buying position of 96%, and 4% selling volume for the week’s transaction to halt the previous week southward move. As the sector recorded more green days than red to close the period under review higher. Despite the negative news that four Nigerian banks are operating below minimum capital required, due to high exposure and Non-Performing Loans (NPL). The sector’s trending ability on a weekly time frame is strong since ADX is above 20 at 47.08, while on daily time frame is weak with ADX below 20 at 16.92 as at Friday.
Traders should position in stages in this sector or wait for the outcome of the meeting of the Central Bank of Nigeria’s (CBN) MPC to know the health status of the nation’s banks, especially the second tier operators that is likely to send panic to the market if not handled well by the apex bank. Despite the expected return of speculators to trade the quarter end and Q3 earnings season ahead. The first resistance level is at 439.69 and the second at 445 point, any move down to 435.43 and 424.77 respectively.
Looking at technical indicators, the NSE BNK index closed below the upper band by 34.4%, while MACD is bearish. RSI is reading 66.01 relatively on overbought region. Money flow index on a weekly time frame is turning up, while daily, it is looking up to indicate that funds are entering the market. The momentum indicators like RSI, CCI and MACD are signaling SELL, while SO is saying buy

NSE CONSUMER GOODS INDEX

NSE Consumer Goods index is currently experiencing a divergence as OBV is trending while the index action is moving down to close the week lower. A breakdown of the dotted yellow lines will confirm a major pullback in the short term. The index still remain relatively strong as it is trading above the 20 to 50 day moving average as at last week Friday. The sector’s volume index of 0.61 with buying position of 57%, and 43% selling volume for the week’s transaction to continue a two-week downtrend as a result of profit booking from the industry’s recent rally due to the improving earnings recorded by the sector in Q1 and Q2 which is likely to continue in the expected third quarter results to reverse this downtrend.
Traders should watch out for support levels of equities in this sector and on this pulled backs as reversal is imminent. The first resistance level is at 956.12 and the second at 966.77 point, any move down to 934.56 and 921.22 respectively.
The NSE’s Consumer Goods index trending ability on weekly and daily time frame is strong since ADX trading above 20 at 50.88 and 28.53 respectively. Looking at technical indicators, the NSECONSGOODS closed below the upper band by 24.4%. MACD is bullish, while RSI is reading 67.20 almost at overbought region. The momentum indicators like RSI, SO and CCO are signaling sell, while MACD signaled buy.

NSE INDUSTRIAL INDEX

NSE Industrial Goods index had suffered five straight weeks of decline after forming a double top on August 11. The sector is currently trading below its 20-day moving average but above the 50 DMA as revealed on the chart. Trending ability of the industry on weekly and daily time frame are strong as ADX is above 20 at 35.40 and 27.43 respectively to support this rebound that signal buy opportunity in some of the stocks in the sector.
Its volume index of 3.74 with strong buying pressure of 100% while 0% selling volume for the week’s transaction to trigger period reversal as earlier pullback had created new entry point for traders ahead of Q3 end window dressing and October earnings season. Looking at technical indicators, the NSEINDUSTR closed below the upper band by 49.7%., while MACD is bearish for two trading days. RSI is reading 53.50 relatively on overbought region. Money flow index on a weekly time frame is turning down while on daily time frame, it is looking up to indicate that funds are entering the market. The momentum indicators like RSI, CCI, SO and MACD are signaling SELL.

NSE INSURANCE INDEX

NSE Insurance index is still trading below the downtrend line despite it rebounded last week to close higher. The weekly chart reveals the sector index is below the 20-day moving average as at the end of last week, but strength is returning in form of improving volume and with the prices of some stocks in the sector hitting 52weeks high. The sector’s volume index stood at 0.36, buying position of 97%, and 3% selling volume for the week’s transaction to halt the previous week’s southward movement.
Traders should wait for breakout of the yellow line on the sector index and volume to confirm strength of rallying before jumping into the stocks in the industry. The first resistance level is at 140.77 and the second at 143.12 point, any move down to 135.76 and 134.41 respectively.
The sector’s index trending ability on a weekly time frame is strong since ADX trading above 20 at 24.77 and weak on daily time frame as ADX is below 20 at 14.33. Looking at technical indicators, NSEINS closed below the upper band at 42.7%. MACD is bearish, while RSI is reading 56.61 relatively strong. The momentum indicators like SO, MACD and CCO are signaling sell, while RSI signaled buy.

NSE OIL/ GAS INDEX


NSE Oil/Gas Index has been trending down for the last two years, despite various attempts at rebound, but recently formed a triple bottom that supported reversal of trend, if the current pullback again becomes an attractive entry point. This suggests that stage positioning in the stocks in the sector that had suffer decline as a result of general market direction, not due to fundamental disintegration of individual stocks. The sector is currently trading below its 20 and 50-day moving average to indicate weakness.
Trending ability of the sector on a weekly time frame is weak as ADX is below 20 at 15.06, but strong on a daily time frame as trading above ADX at 44.09. Volume index for the sector stood at 0.45 with buying position at 0.32% while selling volume is at 0.68% of the week total transaction to reveal selling pressure that had kept sector in the south direction.

Traders should wait for reversal before jumping into any position in the industry. Looking at technical indicators, NSEOILGAS closed above the lower band by 0.3%. MACD has been bearish in the last five trading session, while RSI is reading 38.01 relatively at oversold region. The momentum indicators like SO, MACD and CCO are signaling sell, while RSI signaled buy.

https://investdataltd..com.ng/2017/09/technical-position-of-nigeria-stock.html

MARKET UPDATE FOR WEEK ENDED SEPT 22 AND OUTLOOK FOR 25-29, 2017

EQUITY INVESTORS LOOK TO MPC OUTCOME AHEAD OF MONTH, YEAR-END PORTFOLIO REBALANCING


Trading activities on the Nigerian Stock Exchange in the past week remained highly volatile and mixed but closed higher on improved technicals that supported Friday’s breakout of the downtrend line to confirm the very short term rally that would continue this week, depending however on the outcome of the two-day meeting of the Central Bank of Nigeria (CBN) Monetary Policy Committee (MPC) which ends on Tuesday.
The index on a weekly time frame is still relatively weak since it is still trading below its downtrend line, but signaled a breakout on improved volume that indicates increasing buying pressure ahead of third quarter’s end and Q3 earnings season in October, which also would indicate how traders are repositioning for end of the year trading activities.
The improvement in market breadth after turning positive in the last two trading session has strengthened market technicals with relatively high volume that confirms recovery on mixed sentiments. There is noticeable increased buying pressure that shows a gradual return of speculators who are determined to play the year’s remaining earnings season, which is likely to support uptrend reversal in no distant time. This would however depend on the ability of the monetary and fiscal authorities to take actions capable of sustaining the fragile economic growth recorded in Q2, beginning with the outcome of the MPC meeting, which analysts, in any case, expected would support what the CBN had done so far to drive the recovery that brought about the positive GDP in Q2 2017.

However, month and quarter-end window dressing by fund managers may influence prices.
The volume index for the period under review was 0.72, with buying position at 100% and 0% selling volume of the total transaction as volatility continued. The composite NSE All Share Index gained 483.24 points to close at 35,488.81points on Friday, from an opening figure of 35,005.57 points, representing a 1.38% growth on a high volume of transactions. The index hit an intra-week high of 35,490.84 and low of 34,729.78 before retracing to close above the psychological line of 35,000.
Similarly, market capitalisation for the period closed higher at N12.23tr from an opening value of N12.07tr, representing a 1.37% value gained in investors’ portfolios to reduce losses suffered recently.
Top performing stocks that dominated the advancers log for the week were low caps while few highly capitalized stocks that had pulled back before now are attracting attention on the strength of their strong fundamentals and expected third quarter earnings reports.
The upturn experienced during the period is attributable to gradual speculative activities of traders, especially with the third quarter earnings season around the corner, as they reposition in medium and high cap stocks, thereby lifting the NSEASI’s year-to-date return to 32.05%, just as market capitalisation for the period increased to N2.99tr, representing a 32.31% gain from the year’s opening value.

Market breadth was however negative as the decliners outnumbering advancers in the ratio of 35:25 on a high volume of trades that reflect investors’ repositioning ahead of portfolio rebalancing ahead of Q3 season by fund managers.
The Nigerian stock market went the way of markets across the world to close higher over the past week, despite another around of panic created by sanctions imposed on North Korea over its recent missile launch by the UN, worsened by the war of words between Pyongyang and Washington. There was a strengthening of the U.S Dollar after the Feds meeting during the period left interest rate unchanged, which resulted in the breakout of oil price above $50 per barrel, amidst geopolitical security threats that seem to be a concern for investors. This is also especially as central banks around the globe are coming out with different monetary tighten measures.

Japan’s Nikkei, Germany‘s DAX, Britain’s FTSE 100 and U.S market indexes closed north, despite the Feds’ warnings of a likely increase in rates once more by year end, irrespective of low the prevailing inflation rates. The central banks also warned that it would reduce its $4.2tr balance sheet, citing low unemployment, business investment growth and economic expansion. However, inflation remains a key concern among investors and central bank officials.
In Europe, the highly watched IHS Mar-kit survey found that economic activity rose to a four month high in September, which could spur the ECB to take action on ease of QE.
In Asia, S&P Global Ratings downgraded China’s sovereign credit rating, amidst worries that credit growth continues to move too quickly, despite efforts to curb lending activities.
Back home, the composite NSE Index opened the week on a negative note, losing 0.38% which continued on the second trading session with marginal loss of 0.08%, before reversing at the midweek’s trading when it chalked 1.04%. This was however short-lived, as the indicators closed south again the following day, with a marginal loss of 0.05%. On Friday, the indicators recorded a relatively bigger gain of 0.85%, bringing total gained for the week to 1.38%, thereby halting previous week’s down market.

The All-Share Index and sectoral indices for the period also closed higher, except for the NSE Consumer Goods and NSE Oil/Gas that faced the opposite directions, losing 0.23% and 3.05% respectively, while NSE AseM was flat to close the week.
The week’s activities, measured by aggregate volume and value, were up by 22.68% and 16.20% respectively, as investors crossed 1.10bn shares worth N17.86bn, as against previous week’s 896.62m units valued at N15.37bn in the previous week.
At the end of the week’s trading, Linkage Assurance topped the advancers’ table, gaining 11.86% to close at N0.66 per share on the back of market forces, followed by Continental Reinsurance’s 9.79% notch to close at N1.57each on market forces and expectations for its Q3 numbers. The decliners’ table on the other hand was led by Nigeria Enamelware, which closed 16.65% lower at N23.23 on price adjustment for bonus of one ordinary share for every five held. Caverton followed with a 9.17% drop to close at N1.09 per share on profit taking.
During the week also, Union Bank notified the exchange of its rights issue that opened, while Avon Crowncaps voluntarily delisted from the exchange.

Market Outlook
Technically, Nigeria’s stock market is still searching for direction, despite the improved technicals last week, until a breakout of the downtrend line, which confirms recovery.
The volatility in the market is expected to continue as trading opens this week, amidst profit taking and repositioning ahead of MPC meeting decision on Tuesday, third quarter end, Q3 earnings season and year-end activities. We still hope that the Nigerian government would review its 2017 budget implementation strategy and put in place some fiscal measures that can help sustain the ongoing economic recovery to help drive down inflation numbers faster.

Investdata believes the Muhammadu Buhari administration should improve the living conditions of Nigerians by tackling the huge infrastructure deficit to enhance economic development.
One thing that is clear in the current market situation is that smart investors are using the ongoing correction to accumulate and enhance their positions in some stocks.
Again, we advise that investors allow numbers to guide their decisions while repositioning for the rest of the year trading activities, especially now that prices of stocks are looking down amidst improving economic and market fundamentals.

It is time to use your technical tools to take decision by knowing the support and resistant level to reposition or exit any position.

Meanwhile, Plan to attend the Independent Day Free Investment Education Summit jointly organized by APT Securities & Funds Ltd/Investdata Consulting Ltd, because real independent is financial freedom.

Theme: PROFITABLE STOCK MARKET TRADING STRATEGIES FOR FINANCIAL INDEPENDENCE AND FREEDOM

Have you traded the stock market before and failed? It is a known fact that about 90% of people who trade without knowledge and understanding of the dynamics will end up losing 90% of their capital most of the time.
You don’t have to be one of them. Therefore, when you attend this Independent Day Free Investment Education Summit this seminar and learn how to trade such that you could be one of the lucky 10%, who manage to consistently play the market profitable by themselves through our online portal from your phone and laptop anywhere in the world. Consistency is the key to equity trading and investing successfully.
At APT Securities and InvestData we have been teaching investors simple and proven strategies which when implemented makes you a successful trader and investor in any market conduction, especially when it comes to equipping them well enough to know how to protect their portfolios and profit from market correction in a recovering economy and market.
We have also, over time, focused attention on attuning the mindset of investors and traders to managing risk, while eliminating emotions when trading so as to avoid irrational investment decisions.
Attend the Independent Day Free Investment Education Summit and our team of expert and time-tested resource persons will show you how you too can successfully and confidently trade and invest in stocks profitably on your own from your phone, laptop and/or desktop computer.

The workshop holds on:
DATE: October 2. 2017
TIME: 10am – 2.00pm
VENUE: Ostra Hall & Hotel, Behind MKO Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Lagos.

What you will learn at this the Independent Day free workshop:
1. The fundamentals of stock trading and investing
2. Trading and investing strategies that will help you manage your risk, protect your capital and profit from market correction.
3. How to trade on your own online, using the APT eTrade platform on your phone and laptop.
4. The psychology of trading and investing and how it will make you successful.

Registration is free
There will be sales of stock trading and investing materials for further understanding at the end of the workshop, Fundamental and Technical Analysis materials, including home study packs you can play and viewed on your phone, laptop and television set, all at 20% discount for attending. You need to prepare yourself and profit from the market and the recovery economy to truly achieve your financial independence and freedom.

For more enquiries about the programme, please call 08028164085, 08034053018 and 08111811223

Ambrose Omordion
CRO | Investdata Consulting Ltd
info@investdataonline.com
info@investdata.com.ng
ambrose.o@investdataonline.com
ambroseconsultants@yahoo.com
Tel: 08028164085, 08032055467

https://investdataltd..com.ng/2017/09/market-update-for-week-ended-sept-22.html