Chart Patterns: NGX Closes Flat On Mixed Sentiment Ahead Of CBN MPC Meeting Outcome
Momentum investing on the Nigerian exchange continued last week, amid the increased position taking by company insiders consolidating their holds, even as the impressive Q1 corporate earnings has supported the high traded volume pattern, reflecting the renewed confidence and increased liquidity in the equity space. We note the persistent rise in inflation ahead of the week’s meeting of the Monetary Policy Committee.
The market consolidation on the weekly and daily chart indicate a likely breakout or down of a ranging trend with mixed sentiment and positive market breadth. Trend is your friend in any market condition, trading breakout or following trend entails identifying stocks that are rallying with volume and avoiding trades that are declining, especially now that investors are reinvesting their dividend income into new uptrend or are currently trending higher.
Below are Charts and price actions to watch:
NGXASI Weekly Chart (Opening chart)
NGX BANK INDEX
NGX INSURANCE INDEX
NGX INDUSTRIAL GOODS INDEX
NGX OIL/GAS INDEX
NGX CONSUMER GOODS INDEX
NGX PREMIUM INDEX