Nabil Bank and NIC Asia Bank rises by more than 15%; Banking sector remains top gainer; Naasa Securities remains top buying and selling broker (Weekly Wrap Up)

Fri, Dec 25, 2020 1:03 PM on Stock Market, Weekly Analysis, Featured,

-ShareSansar

253.15 points volatility was witnessed this week, with the market reaching the highest 2127.22 and the lowest 1874.07. NEPSE index gained 6.12 points (0.30%) in this trading week. Last Week's market closed at 2032.51 points and this week closed at 2038.63 points on Thursday.

Candlestick pattern:

Two green candles and three red candles were formed this week.

Exponential Moving Average:

We have used EMA's of 5 days’ time period (blue line), 20 days' time period (red line). At present, NEPSE Index is below 5 days EMA but above 20 days EMA. Values below shorter moving average signals for earlier indication of possibilities of starting of bearishness, but still need to wait till Nepse to close below 20 days EMA.

Moving Average Convergence and Divergence:

MACD line (blue) and the signal line (red line) are in Positive zone. Signal line have crossed the MACD line, this indicates a bearish signal but still need to wait for more confirmation.

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

23.6% - 1889

38.2% - 1747

50% - 1632

78.6% - 1354

100% - 1146

Turnover

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

Pivot Point- 2013 point

1^st Resistance- 2152 point 1^st Support- 1899 point

2^nd Resistance- 2266 point 2^nd Support- 1760 point

3^rd Resistance- 2932 point 3^rd Support- 1633 point

Conclusion: High possibility of formation of triple top chart pattern in 2090. A buying opportunity will be created after the NEPSE Index closing above 2100.

Listing of the Week:

Weekly Market Summary of NEPSE:

More than 6.10 crore unit shares of worth Rs 34.71 Arba has been traded through 2.99 lakh transactions this week. The current market capitalization of NEPSE stands at Rs. 2,742,178.51 Million.

Sector-wise breakdown of the turnover of this week:

The commercial bank's sector made 34.59% of the total turnover this week followed by the Life Insurance sector with 21.43% of the total turnover.

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

The NEPSE index increased by 0.30% this week. The top loser sector of this week is the Others sector with a fall of 5.71% followed by the Microfinance sector with a fall of 3.93%. The top gainer sector of this week is the Banking sector with a rise of 3.63%.

Stock with the highest monthly Beta value from the Microfinance, Insurance & Hydropower

Nepal Life Insurance Company Limited (NLIC) has the highest monthly Beta value of 1.63 followed by National Life Insurance Company Limited (NLICL) and Neco Insurance Company Limited (NIL) with 1.58 and 1.50 beta value respectively.

Top Ten Gainers of the week:

Nic Asia Bank Limited (NICA) is the top gainer of this week. Nic Asia Bank closed at Rs 827 with Rs 137 (19.86%) increment.

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

SSpro

Top Ten Losers of the week:

Narayani Development Bank Limited's (NABBC) price has decreased by 36.21% and its LTP stands at Rs 377.

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

Nepal Life Insurance Company Limited (NLIC) is the top traded company of the week. A total of Rs 4.69 Arba worth of NLIC shares were traded this week.