NEPSE FAILED TO BREACH 552 LEVELS YET AGAIN

ShareSansar, 19th Sept:
    
Nepal Stock Exchange once again failed to break the resistance of 552 levels. The market today tumbled by 2.97 points to close at 548.98 levels.

This is the third failed attempt of Nepse within less than a month, to float beyond the 552 levels. Looking at the recent one month movement of Nepse, it is found hovering sideways between the ranges of 545 to 552 levels, which depicts the strong resistance level of 552. Last time, the market moved beyond this level was on 17th February, 2013, on which market closed at 555.93 levels.

The direction of breakout movement from this channel will be very crucial in determining the Nepse movement for future dates.

Today’s downfall in the market was mainly caused by converge by investors to capitalize the profit obtained from the prior day’s price surge in the Insurance and Hydro sectors’ scrips. Though the selling pressure tumbled the market to the level of 546 levels, the recovery in the last 15 minutes helped to narrow the loss of only 0.54 percent.

Among sub-indices, only Hotels made gain of 12.52 points whereas rest suffered the loss. Hydro and Insurance were the two of the highest decliners today with a loss of 34.91 and 14.17 points respectively.

Similarly, Others also dropped by 2.35 points followed by Banking with a  2.06 points decline, Finance with 1.21 points fall and Development with 0.41 points slide.

All in all, 103 scrips were traded, out of which 30 scrips gained, 15 remained intact and 58 scrips lost.

The share with the highest gain in today’s session was, Taragaon Regency Hotel (TRH), closed at Rs 111, with Rs 8 or 7.77 percent growth. Whereas, Janaki Finance Ltd. (JFL), closed at Rs 253, was the worst performer for the day with a loss of Rs 17 or 6.30 percent.

As for Standard Chartered Bank Ltd (SCB), which has proposed 10 percent bonus share and 40 percent cash dividend, suffered a loss of Rs 35 to close at Rs 1795 as the proposed dividend was below than the investors’ expectation.

While, Life Insurance Corporation (Nepal) Ltd. another company with proposal of 20% bonus shares and 1.05% cash dividend sustain a gain of Rs 12 gain to close at Rs 1,480.

The scrip with the highest turnover in today’s market was of Nepal Bangladesh Bank Ltd. (NBB), closed at Rs 378. Altogether, 28,035 units of shares were traded through 76 transactions worth Rs 10,437,450. The broker with the highest standalone dealing of NBB was Broker No 41 (Linch Stock Market Limited) with 9.93%; amounting Rs 2,072,300 via 10 transactions totaling  5,600 units which include 4 matching transactions tallying 2,500 units worth Rs 925,000.

Overall, 407,285 units of shares were traded by 1,991 transactions with total turnover worth Rs 128,969,265; the market capitalization by the end of the day tallied to Rs 551,113.75 million.