The stock market had a spectacular Tuesday, solidifying the bull transition as it broke out the year’s strong resistance level to a new 52-week high on strong and positive technicals that revealed increasing demand for stocks as buying pressure outweighed the effects of ongoing profit taking activities leaving the bourse bullish on a primary short-term. The fantastic run up further strengthened the market’s standing as one of the best performing in the world and Africa, with its year-to-date return of 43.24%, at a time the globe markets hit an all-time high of $100tr worth according to a report by analysts at Morgan Stanley.
The market opened on a little upside in the early hours of the session but ran strongly in the mid-morning to the afternoon when it reached the intraday peak of 38,515.91 before pulling back in the last minutes of the trading session, but gently from the 52 weeks high.
As mentioned in our update yesterday, the composite index strongly broke-out the psychological line of 38,000 to extend the five-wave trend on a huge volume of trades that suggests accumulation by smart money. This is not unexpected, given the strong fundamentals, but low valuation of companies listed on the exchange, and positive economic data which also reveal growth prospect. On the economic front, despite the cap on Nigeria’s output by the Organisation of Petroleum Exporting Countries (OPEC) to 1.8 million barrels per day, the rising oil price would definitely result in increased government revenue, following which the worry should now be how to maintain the fragile peace in the volatile Niger Delta region by activitely engaging the people, thereby giving them a sense of belonging.
One way to achieve this is to faithfully undertake the modular refinery, among other projects, while investing in their wellbeing, thereby reducing the temptation to seek fabled greener pastures abroad. This is important, given that about 98% of the youths who either died in Libyan concentration camps or on the Mediterranean sea, while attempting to cross into Europe, are of Niger-Delta origin, particularly Edo and Delta States. Beyond these and with the highly unpredictable movement in oil price, it is important for government at all levels to significantly reduce wastage and plug leakages in the system, while focusing on projects that will boost the economic fundamentals and impact the living standard of Nigerians.
Meanwhile, Nigeria’s stock market volume index on Tuesday stood at 1.24, buying pressure was 96% and selling volume, 4% of the total transaction to continue the bull-run, an indication of positive sentiments during the day’s trading. This trend is likely to continue as institutional money flow is green and looking up, but there is need for caution, even as profit taking slows down with the market looking up. The NSE Oil/Gas and NSE Insurance were the day’s laggards, while other sectorial indexes closed on the same path as the All-Share index.
The composite Index gained 519.85 basis points to close at 38,494.43, from the 37,974.58 points, representing a 1.37% growth, just as market capitalisation went up by N181.04bn to close at N13.41tr from previous day’s N13.23tr, representing a 1.37% appreciation in investors’ portfolio. The upturn was sustained by value gain in low, medium and high cap stocks like Dangote Cement, FBNH, Dangote Flour, PZ, UBA, Unilever, Dangote Sugar, NB, ETI, Access Bank, GTBank, Zenith Bank and Guinness Nigeria. This impacted positively on the All-Share Index’s year-to-date returns, taking it to 43.24%, just as YTD growth in market capitalisation soared to N4.16tr, representing a 44.98% rise over the year’s opening value.
Market breadth on was positive as the number of advancers widened to outnumbered decliners in the ratio of 32:11 on a high traded volume that was higher than previous day’s level.
Transactions in terms of volume and value were up by 4.43% and 18.32% respectively to 522.35m shares worth N7.52bn from previous day’s 500.19m units valued at N6.36bn. The day’s activity was driven by Custodian Allied Insurance, GTBank, Fidelity Bank, Diamond Bank and Zenith Bank, which topped the volume chart.
The best performing stock for the day was Learn Africa, which notched 8.25% to close at N1.05 on market forces, followed by Cadbury Nigeria’s 7.37% to N15.30 on market sentiment.
On the flipside, Continental Reinsurance shed 5% to close at N1.38 each on market forces and profit taking, ahead of Chellaram’s 4.94% loss to close at N3.04 each, on market forces.

TODAY’S OUTLOOK

Expect market volatility to linger as traders profit taking slows down, while investors goes for value stocks ahead of year-end and Santa Claus season amidst improving and positive economic data.
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 stock prices remain volatile amidst improving company, economic and market fundamentals.
It is time to combine fundamentals and technical tools to take decision by knowing the support and resistant level to reposition or exit any position. Market is in phases know the cycles in order to manage your trading and investing risk. For stocks that should be on your shopping list to buy in this seasonality changes as the year winds down, sign up to INVESTDATA BUY AND SELL signal setup by calling 08032055467.
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Comprehensive training materials on stock Trading and Investing for Financial Independence series are Available (Home Study Pack), you can play and watch on your mobile phone, laptop, desktop and Tv. Kindly call or send yes to 08032055467 or 08111811223.
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INVEST 2018 TRADERS & INVESTORS FINANCIAL SUCCESS SUMMIT COUNTDOWN- 3 DAYS MORE
Sub Topics

The Pre-election Economy & 2018 Budget: Implementation and Impact On the Recovery Bull Market
In this presentation, Mr Olufemi Awoyemi the founder/CEO of Proshare Limited, chartered Accountant and seasoned financial analyst will review the economy and impact of government policies so far, discussing how the proposed N8.6tr budget will influence the economy in a pre-election year. He will also take participants through the outlook for the stock market in 2018, while attempting to answer a question like: Is there really any reason to cheer from the mere size of the 2018 budget, considering how those of the past two years have been implemented, especially during this economic recovery phases?
Impact and Implication of NSE New Rules on your Equity Investment in 2018 and Beyond
The new strategies to trade and invest in a transforming market will be revealed to boost players profit and minimized losses by Alhaji Garba Kurfi, a chartered accountant, Fellow CIS and Managing Director of APT Securities & Funds Limited. He will also tell participants about classes of stocks to focus on, in this new market normal value of 1kobo in 2018.
The Secret For Finding Better Trades & Investment Opportunity
Mr. Abdul-Rasheed Oshoma Momoh, Head, Capital Market in TRW Stockbrokers Limited will handle: “Discover how to Trade Smarter, How You Can Stay on the Right Side of the Market Most of the Time,” as well as specific, high winning probability, chart patterns: “Trading Price Direction based on Momentum Flows, The current market cycles, how they are used for trading price direction, in addition to How to set realistic & achievable profit.”
Comprehensive Earnings Guide for Investing and Trading in 2018 Earnings Season Profitably
“Equity price movement is a function of earnings in the short run and long term,” market reaction to earnings in any market cycles is prolonged by dividend payout, relative to price. It makes a lot of sense to trade in the direction by knowing the companies that will grow their payout in 2018… as long as you identify such stocks in their early stages. Hindsight, as they say, earnings calendar, trend, surprise and quality of numbers are very useful in making profitable investment decision in 2018 and beyond, which would be handled by Ambrose Omordion, Chief Research Officer of InvestData Consulting Ltd

How to Pick Investable Securities: Using Econometric Models and Other Strategies Of Successful Traders To Improve Your Trading Margin
In this presentation by Engr Mike Ekwueme Anyadibe, CEO of X-Front Trader Limited, you will learn how financial engineering can be applied on NGSE market data: How the gurus pick securities, depending on their client’s different investment goals, whether for dividend Income. Or, are you a momentum or trend following trader who wants to grow your wealth through the stock market? Even If you’re a complete beginner – What is model, And Why Was It the profitable strategy between 2009 – 2017 so far.
This summit is the perfect opportunity to learn from the best industry experts and to get the personal attention in the exclusive Q&A session after presentations!
The summit holds on December 9, 2017 at Ostra Hall & Hotel, Behind M.K.O Abiola Gardens, Opposite NNPC Gas Plant, CBD, Alausa, Ikeja. Time is 9:00am. The fee is N25,000 per participant. Companies sending more than two representatives would enjoy 15% discount. Those who have participated in our previous seminars and workshops will enjoy 15% discount. Payment should be made into Investdata Consulting Limited; Zenith Bank Acct. No: 1013033032 or UBA, Acct. No: 1020288683.
To register for the coming summit Kindly visit our site www.investdataonline.com OR www.investdata.com.ng also you can call or send ‘YES’ to 08032055467, 08111811223 or 08179547605
N.B: At this event you’ll hear real case studies and see examples of exactly how you can use these same techniques. This summit is packed with great content, but the room only has capacity for 100 people and registration is ongoing, so you’ll need to act fast.
If you are looking for a way to make money in the market as a Full-time or Part-time trader or investor, this is your opportunity.

Dream it! Wish it! Do it! Enjoy it! Don’t Miss out

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