NEPSE Loses 5.4% in a Week Dominated by the Bears (Technical Analysis of the Index with Scrip Breakdown, Broker Comparison, and Highlights)

Fri, Sep 3, 2021 3:21 PM on Weekly Analysis, Stock Market,

NEPSE Index made 199.48 points volatility with the market reaching the highest 3115.74 and the lowest 2916.26. The index lost 167.16 points (5.40%) in this trading week. Last week the market closed at 3094.05 points and this week closed at 2926.89 points on Thursday. 

Exponential Moving Average:

NEPSE index is below both 5 days EMA and 20 days EMA. The Index below the moving average signals for Bearishness. Recently, 5 days EMA has crossed its 20 Days EMA from above, forming a Dead crossover pattern. The Dead cross is a technical pattern indicating the potential for a downtrend.

Relative Strength Index:

Relative Strength Index is a momentum oscillator that measures between zero and 100. Currently, the Relative Strength Index is at the 31.96 level. Traditionally the RSI is considered overbought when above 70 and oversold when below 30.

Moving Average Convergence and Divergence:

MACD line (blue) and the signal line (red line) are in the Positive zone.  The MACD line has crossed the signal line and the MACD line is below the signal line, this indicates a possibility of a trend reversal. A histogram is also in the negative zone.  MACD is indicating the possibility of downward momentum.


Fibonacci retracement:

A Fibonacci retracement refers to areas of support or resistance. The indicator is useful because it can be drawn between any two significant price points, such as a high and a low, and then the indicator will create the levels between those two points.

The Fibonacci retracement levels are

61.8% - 2943

78.6% - 2865

100% - 2765

Support and resistance level for the next trading week according to Pivot Point.

Pivot Point- 2989

1st Resistance- 3052                  1st Support- 2863

2nd Resistance- 3178                   2nd Support- 2800

3rd Resistance- 3367                   3rd Support- 2611

Conclusion:   All major technical indicators are supporting the downtrend. Major support is at the 2800 level.

Weekly Market Summary of NEPSE:

More than 8.32 crore unit shares worth Rs 47.76 Arba have been traded through 5.00 lakh transactions this week. The current market capitalization of NEPSE stands at Rs. 4,089,589.47 million.

NEPSE index and Sub-indices performance: (Decrement here is based on the previous week closed value)

The NEPSE index closed at 2926.89 points with a decline of 5.40% this week. Hotel and Tourism gained the most this week with an increment of 1.48%. 

Stock with the highest monthly Beta value from the Development Bank and Hydropower sector

Ankhukhola Hydropower Company Limited (AKJCL) has the highest monthly Beta value of 4.56 followed by Mahalaxmi Bikas Bank Limited (MLBL) and Kamana Sewa Bikas Bank Limited (KSBBL) with 4.56 and 3.5 beta values respectively.

Top Ten Gainers of the week:  

Manakamana Smart Laghubitta Bittiya Sanstha Limited (MKLB) is the top gainer of this week. MKLB closed at Rs. 503 with Rs. 112.3 (28.74%) increment.

All the analysis is done with the SS Pro Software. To know more about the software, click on the link below


Top Ten Loser of the week:

ICFC Finance Limited (ICFC) price has decreased by 17.08% and its LTP stands at Rs. 961. 

*SFMF and AKPL price has been adjusted due to book closure of 50% cash dividend and 17% bonus share respectively of both the companies. 

Top Stocks by Turnover, Volume, and Number of Transaction:

Arun Hydropower Development Company Limited (AHPC) is the top traded company of the week. A total of Rs. 3.5 Arba worth of shares were traded this week.

Top Buyers Brokers of the Week:

Naasa Securities Co.Ltd (Broker No- 58) was the top buyer broker of this week and it has bought stocks worth Rs. 2.77 Arba.

Top Buyer Brokers Top 10 Bought Companies:

Top Seller Broker of the Week:

Naasa Securities Co. Limited (Broker No- 58) was the top seller broker for this week. The brokerage firm has sold stocks worth Rs 2.59 Arba.

Top Seller Brokers Top 10 Sold Companies:

All the analysis is done with the SS Pro Software. To know more about the software, click on the link below


Major Highlights of the week:

Investing Lessons From Charlie Munger: The Humbler Side-Kick in Warren Buffett's Success Story

Arghakhanchi OPC Cement receives certification as 43-grade cement for its high-quality product; expected to float IPO next year

Samaj Laghubitta and Swastik Laghubitta Terminate Merger Agreement

These Debenture Issues Are Now Listed in NEPSE

Deprosc Laghubitta (DDBL) Proposes 21.053% Dividend for FY 2077/78

IPO for project-affected locals: Samling Power Company issuing 5,00,000 units IPO shares from Bhadra 18

Heads of Nepal Stock Exchange and Regulator Both Alleged of Illegitimate Share Ownership; CEO Resigns, Chairman Suspended

Country's economy will be made vibrant: PM Sher Bahadur Deuba

Bonus Shares and Right Shares of These Companies Are Now Listed in NEPSE

IPO Shares of Sanima Life Insurance Limited (SLI) Listed in NEPSE; What's the Opening Range?

Microfinance Companies Performed Well Despite The Second Wave Of Pandemic; A Detail Look Into the Major Fundamentals As Per Q4 Report

Briquette from worn-out, unusable bank notes

When's the Book Closure for Dividend of Citizens Mutual Fund-1 (CMF1) and Citizens Mutual Fund - 2 (CMF2)?

Last Day to Apply for Locals IPO of Nyadi Hydropower Limited

Monsoon, which was active some days back, is gradually weakening

IPO of Terhathum Power Company Limited Closes With 23,57,009 Applicants

Bonus Shares of Naya Sarathi Laghubitta (NSLB) Now Listed in NEPSE

Locals IPO of Nyadi Hydropower Limited Oversubscribed Over 1.44 Times

Mega Bank signs agreement with Chabahil based Om Hospital; MoU to enable bank’s customers to receive 10.5% discount at hospital on their total medical bills

Nepal Life Insurance Company acquires 51% stake in National Merchant Banker; insurance company makes formal inroads into investment management company with paid-up value of Rs 30 crore

Insider Trading, Misleading Rumor, and False Trading in NEPSE? What Provisions Has the Regulatory Body Set Aside to Resolve the Issues? Is It Making Any Difference?

Imports of more than Rs 150 billion in the first month of current fiscal year

Daraz Introduces New Drop Off Locations; Returns now much easier for customers both inside and outside Kathmandu

Exciting Offer!! Customers of Kamana Sewa to enjoy 10% Discount at M/S Soaltee Crown Plaza in Kathmandu and M/s Soaltee Western Premier in Nepalgunj

Fonepay hands over bumper prize Hyundai car to lucky winner Mr. Ujwal Adhikari; concludes its months-long campaign to promote mobile banking based cash transaction