NGX ASI: Nigeria All-Share Index
The NGX ASI fell 0.06%, closing at 250,667.86 basis points on Monday after attempting to recover from last week’s bearish momentum, while meeting support at 250,430.03 basis points. This kept the index above its moving average, signalling sustained investor interest.
Currently, the index trades within the Fibonacci critical zone. As such, investors should expect mixed sentiments. Amid this sentiment, they should watch the index’s liquidity and momentum to gauge fund flows.
Currently, the market is experiencing strong profit-taking as volume closed strongly bearish above its moving average. MACD sustained its bullish divergence signal. However, the index’s momentum and liquidity remained strong, attracting investment opportunities.
NGXBNK: Banking Sector Index
The banking index gained 0.07% and closed at 2,687.54 basis points. The index closed last week with strong bearish momentum and met support at 2,673 basis points. This performance signified a gradual recovery.
Due to the corrective market, the index’s liquidity and momentum declined; yet it closed strongly above its threshold. Notably, MACD initiated its bearish signal; however, due to the recovery signal, volume closed strongly bullish above its moving average. This performance signals sustained investor interest.
Top gainers: ZENITH (+0.67%), IBTC (+0.61%), WEMABANK (+0.48%), FIRSTHOLD (+0.07%)
Top losers: UBA (-0.66%), GTCO (-0.45%), FIDELITY (-0.43%), ACCESSCORP (-0.16%)
NGXCSMG: Consumer Goods Sector Index
The consumer goods sector fell 0.12% and closed at 7,550.69 bps. During intraday trading, the index consolidated sideways with 7,524.25 bps as its main support. Although the index attempted a recovery, the market bears dominated the market.
In line with this performance, volume closed strongly bearish above its moving average. MACD also initiated its bearish signal. However, the index’s liquidity and momentum remained strong despite declining.
Top gainers: NEIMETH (+8.72%), DANGSUGAR (+2.94%)
Top losers: AFRIPRUD (-7.31%), ROYALEX (-5.66%), NESTLE (-5.17%), NPFMCRF (-4.55%)
NGXIND: Industrial Sector Index
The NGXIND closed at 10,440.31 basis points. The index made no significant change in points during intraday trading. However, it closed with a bullish sentiment. The index’s liquidity, momentum, and volume remained solid. Notably, MACD sustained its bullish divergence, which should prepare investors for a trend reversal.
Top gainer: TRIPPLE (+9.87%)
NGXOGSE: Oil and Gas Sector Index
The oil and gas index shed 0.05% and closed at 6,243.45 basis points. The index remained bearish after surpassing its major resistance level. This distribution phase offers investment opportunities as the index has potential for continuous bullish momentum.
Due to the bearish sentiment, MACD sustained its bullish divergence signal, and volume also closed with solid bearish momentum. However, the index’s liquidity and momentum remained strong, suggesting sustained investors interest.
NGXINS: Insurance Sector Index
The insurance index gained 1.15% to close at 1,087.67 bps. During intraday trading, the index experienced a strong pullback and met support at 1,073.11 bps. This performance sustained the index’s strength above its moving average.
In line with this performance, volume closed fairly strong, indicating mild profit-taking. MACD also sustained its divergence signal, preparing investors for a trend reversal. Yet, the index’s momentum and liquidity remained solid.
Top gainers: SOVRENI (+10%), REGALIN (+4.29%), LINKASS (+3.07%), MBENEFIT (+1.59%)
Top losers: WAPIC (-6.36%), CONHALLPLC (-5.91%), CORNERS (-3.81%), AIICO (-3.11%)
Market Analyst Insight
The overall market’s momentum and liquidity stayed strong despite the mixed market sentiment. This performance signifies sustained investor interest and selective investment. As the market consolidates, investors can use this opportunity to buy into value. Finally, the banking and insurance sectors are sectors to watch because their recovery phase remains strong.
