Market Update for June 19
The bull transition on the Nigerian Exchange continued powerfully on Thursday as buying momentum across the major sectors of the market increased especially in low, medium and high cap stocks that impacted positively on the key performance indicators to close higher on a high traded volume and positive market internals. The clarification of the forbearance issue by the Nigeria’s central bank while reaffirming the healthy state of the country’s banks supported this strong momentum and positive sentiment ahead of quarter end window dressing, half year earnings reporting season and policy meeting in July. These supported the rebound witnessed at the end of the session.
With the expansion in the markup phase on bargain hunting, position taking and accumulation in the face of sector rotation, the NGX index is set to hit the 120,000 basis points mark as earlier projected, after pulling back on profit taking or selloffs to gather strength and continue on this trajectory in the second half of 2025. Despite the expected mixed trend in Q3, this bull trend is likely to be sustained on intermission profit taking which is the dynamics of stock market any time anywhere. Already the benchmark All-Share Index is making new all-time high at 117,861.13bps to sustain the uptrend on a high traded volume and money flowing into the market as the latest TB primary market auction rate declined across all tenors.
The NGX continued to witness portfolio realignments by market players as investors digest the recent macroeconomic reports and unfolding global uncertainties due to rising geopolitical tensions and wars. There is need to avoid panic selling. However, let your trading plan and investment objective guide your entry and exit. As improving macroeconomic data points to where the economy is heading on government’s economic reforms and others.
It is time to pay close attention to momentum, price action and market structure while timing their trades and avoiding losing money with their stop loss. As they navigate the market and targeting value on the strength of companies’ performance and prospect, looking at growth and defensive stocks with strong earnings power and positive technicals in the face of sector rotation persisting.
Technically, money flow and other momentum tools were up indicating that funds entered to the market on position taking that presents opportunities to buy low and sell high in the midst ongoing volatility and uptrend. The index inched higher on a buying interest, thereby creating the perfect setup for high probability of continuation to catch better-than-expected corporate earnings to reposition at the right price. Also, the index action trading above T-line and the two moving averages of 50-EMA and 50-SMA which reveals strength in the midst of changing market fundamentals and technicals on the NGX and the economy.
Market metric for the session as revealed by candlestick formation and momentum indicators, shows that the ADX is looking up to read 50.09 points, while RSI and Money Flow Index were up at 85.62 and 65.17points against the previous session’s 84.33 and 63.44 points respectively. At this stage of NGX, players should watch the trend and trade wisely in the midst of markup phase and buying sentiment in some sectors and profit taking in others on a daily time frame. Also, trading volume pattern continues to oscillate, suggesting smart money are gradually taking position amid revaluation of the market and short-term opportunities, looking at economic events in the face of policy direction of the government and global economic outlook in the face of uncertainties and geopolitical tensions.
To navigate the rest of Q2 and beyond profitably, it is important to run with economic events, fundamental and technical analysis, join investdata live sessions at noon every Monday, Wednesday and Friday’s trading session “and also get investdata technical toolbox to play the current state of the market do suggest that discerning investors are gradually becoming greedy, while others are fearful, as seen in the recent pullbacks. Despite the oscillating volume of transaction witnessed in recent time, it is time to position in undervalued stocks, sectors and the next insider playing opportunity.
Oil prices on Thursday inched higher to continued its oscillation, trading at $77.75 per barrel, in the midst of escalating Mideast war and that of Ukraine and Russia. Even as market players digest Fed decision on rate left unchanged. As peace talk seems to have failed, even with OPEC planning to increased production in the face of wars. As soft macroeconomic data emanating from US and China remain a concern for players. The trade tariffs negotiations seem to have fallout to signal global recession and weak economic activities, just as geopolitical tensions across many economies remain a major source of concern to the global economy and energy consumption in 2025. This trend may likely continue, while the up and down movement continues to drive volatility.
Meanwhile, Thursday’s trading started in the upside, and it was sustained throughout the session, on positioning in some stocks and profit taking in others. This situation pushed the NGX’s index to intra-day high of 117.887.80.bps from its lows of 116,785.10bps, before closing above its opening level at 117,861.13bps.
Market technicals were positive and strong with higher volume when compared to previous session in the midst of breadth that favors the bulls on a buying sentiment as revealed by Investdata’s Sentiments Report showing 98% buy position and 2% sell volume. The total transaction volume index stood at 1.37points, just as energy behind the day’s performance was relatively strong, as Money Flow Index was inched up to read 65.17pts, from the previous day’s 63.44pts, indicating that funds entering the market.
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Index and Market Caps
The benchmark NGXASI gained 904.97 basis points, closing at 117,861.13bps from 116,786.87bps, representing a 0.92% growth, while market capitalization rose by N677.7bn to close at N74.40tr from the previous day’s N73.68tr, representing a 0.92% appreciation value.
Attention: If you have not signed up for INVESTDATA’s buy and sell signal setup, don’t delay, because the number of stocks entering their oversold range has increased as market correction and volatility call for intelligent trading and positive chart patterns to be on our watchlist. These stocks have potentials to retrace, considering their earnings prospects and the oscillating moves in an upmarket and weak economy.
To become a member, send ‘YES’ or ‘STOCKS’ to the phone numbers below. Take advantage of this service to buy right and sell right at the current oscillating market in the midst of earnings season, portfolio reshuffling, and repositioning as we await an economic reform policy that can stimulate and re-track the economy to the path of growth and development.
The upturn was driven by position taking in the shares of Stanbic IBTC, Julius Berger, FirstHoldco, Aradel, Oando, Zenith Bank, Accesscorp, Nahco, Presco and MTNN, among others, which impacted positively on Year-To-Date gain which inched higher to 14.51% while Market capitalization gain stood at N18.50tr, representing 18.47% increase over its opening level for the year.
Bullish Sector Indices
Sectoral performance indexes were up, led by NGX Banking with 2.99%, followed by Insurance, Consumer goods, Energy and Industrial goods with 1.53%, 1.02%, 0.24% and 0.16% respectively.
Market breadth was positive as gainers outnumbered losers in the ratio of 42:19, while activities in volume and value were mixed, after investors exchanged 893.97m shares worth N22.03bn, with volume driven by trades in Champion, GTCO, PZ, Zenith Bank and Accesscorp.
Ikeja Hotel and Beta Glass were the best performing stocks, gaining 10% each, closing at N15.40 and N276.00per share respectively on the back of sentiment and market forces. On the flip side, Guinea Insurance and HMCall lost 9.21% and 5.88% respectively, closing at N0.69 and N4.00 per share, purely on profit taking.
Market Outlook
We expect positive sentiments to continue on profit taking and sector rotation, as investors buy into value in expectation of audited corporate earnings of March year end and others in the midst of portfolio reshuffling, even as few audited accounts are expected to hit the market with dividend announcement.
Also, sector rotation and portfolio rebalancing continued in the market with investors taking advantage of price correction to buy into value. This is amid the volatility and pullbacks that add more strength to upside potential. Consequently, investors should take advantage of price correction. Also looking at the trends and events across the globe and domestically.
Investdata Q3 Master Class
Theme: Unlocking Trading Opportunities On NGX Amidst Fundamental Shift In Global Macroeconomic & Uncertainties
Sub-Topics
- 1.A Macro View of the Nigerian Stock Market & How To Navigate by Alhaji Kurfi Garba , MD/CEO APT Securities & Funds Ltd
- 2.It’s All In Charts- Trading Profitability with Price Actions& Other Technical Tools by Mr Abdul-Rasheed Momoh, Executive Director Operations, TRW Stockbroking Ltd
- 3.The Power of Reliable Dividend & Earnings Amid Portfolio Realignmentsby The Power of Reliable Dividend & Earnings Amid Portfolio Realignments, Mr Peter Sunday Adebola, Manging Director/CEO Edgefield Capital Management lLtd
- 4.Unlocking The Power Of The Volume Factor In Trends,& 5 Stocks To Ride On At the NGX Pullback by Ambrose Omordion, CRO Investdata Consulting Ltd
If you have been searching for an edge in today’s volatile markets, this is your moment.
Join us at the Investdata Q3 master class, high powered event for traders and investors trading actively on the NGX who blend the power of technical and fundamental analyses into a single, streamlined strategy for all market conditions.
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The NGX 2025 market volatility has continued to create wealth for smart traders and discerning investors who took action, or are ready to take action. If you have been wondering:
- How this market uptrend or pullbacks will affect your investments
- What steps you might take to protect your portfolio and grow it in Q3 and beyond
- When markets might recover based on historical patterns, if it pulls back.
- Identifying Trends Easily: Discover techniques to identify bullish and bearish trends more accurately, allowing for better decision-making
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- Five stocks to beat inflation in 91 days
We look forward to helping you navigate this uncertain market, it’s all about investing and trading knowledge that has delivered consistent profits and boost confidence, even during recent market volatility and uptrend.
Date: June 28, 2025
Fee: 100k
Venue: Zoom
If you want to be among successful investors and traders in Q3 2025, send Yes to: 08028164085, 08179547605 now.
Ambrose Omordion
CRO|Investdata Consulting Ltd
ambrose.o@investdataonline.com
Tel: 08028164085, 08179547605
