NGX ASI: Nigeria’s All-Share Index
The Nigerian Exchange’s All-Share Index (NGX ASI) gained 0.46% and closed at 241,298.47 basis points. During the week, the index met support at 238,689.70 bps and closed bullish. This performance indicates that the index is attempting to recover. However, liquidity remains low, and MACD’s bearish momentum remains strong. Since RSI’s momentum remains solid, investors should watch for a MACD divergence signal on the weekly chart.
NGXBNK: Banking Sector Index
The banking sector index climbed 2.89% up, closing at 2,544.92 basis points on the weekly chart. During the week also, the index started with a weak bearish sentiment and closed strongly bullish. This performance validates the index support level and recovery phase.
Volume closed fairly strong on the weekly chart. Additionally, the MACD has sustained its bullish divergence signal. Despite these performances, the index’s momentum and liquidity remained strong. Thus, investors should wait for another bullish momentum to determine the index’s outlook.
NGXCSMG: Consumer Goods Sector Index
The consumer goods index gained 2.98% and closed at 7,000.40 basis points. During the week, the index experienced a brief bearish momentum and closed strongly bearish. This performance broke the index resistance level at 6,861.60 bps, confirming a strong recovery phase.
Volume closed fairly strong on the weekly chart. Also, MACD’s bullish momentum remained flat, following the corrective market. As the index closed with strong bullish sentiment, liquidity and momentum regained their strength. Thus, investors should watch for strong bullish momentum to validate the index’s overall strength
NGXIND: Industrial Sector Index
On the weekly chart, the NGXIND remained within the 0.382 Fibonacci level and closed at 10,378.74 bps. However, it did not make any significant change in basis points. In line with this performance, the index closed bearish, and its liquidity declined drastically. Yet, RSI’s momentum remained solid, weakening MACD’s bearish momentum.
NGXOGSE: Oil and Gas Sector Index
The oil and gas index gained 4.54% and closed at 5,185.35 bps. This performance suggests that the index is attempting to recover. During the week, the index experienced a brief bullish momentum at the 1.0 Fibonacci level. This performance signalled bearish exhaustion as MACD sustained its bearish divergence signal. In line with this performance, the index’s strength and liquidity regained momentum amid low volume.
NGXINS: Insurance Sector Index
The insurance sector experienced a fractional loss of 0.63%, closing at 1,079.54 bps. After strong bearish momentum, the index started recovering and closed with a morning star candlestick pattern. This pattern, combined with a strong support level, indicates a bullish reversal signal. Thus, investors should expect a bullish recovery next week.
In line with this performance, the strong bearish volume regressed as the index recovered. Yet, its liquidity and momentum remained low. Given this sentiment, one should watch for continuous bullish momentum to determine the index’s outlook.
Market Analyst Insight
As the month ends, the indices display recovery signals. These signals should attract investment opportunities as investors target high-cap stocks with good fundamentals. To determine the overall market’s outlook for September, investors must watch for resistance level breakouts.
