Weekly Summary: Technical Analysis, Sectorwise Breakdown, Major Highlights, and More

Fri, Feb 5, 2021 12:12 PM on Stock Market, Weekly Analysis, Featured,

153.39 points volatility was witnessed this week, with the market reaching the highest 2519.85 and the lowest 2366.46. NEPSE index gained 49.97 points (2.06%) in this trading week. Last Week market closed at 2425.29 points and this week closed at 2475.26 points on Thursday.

Pattern Analysis:

The bullish flag pattern is formed. The base of the flag is formed in 1635 and the top of the flag is 2090. The overall height of the flag is 455. The target will be 2550.

Candlestick pattern:

Two green candles and three red candles were formed this week. Candles having shadows were formed on the last two trading days.

Exponential Moving Average:

We have used EMA's of 5 days' time period (blue line), 20 days' time period (red line). At present, the NEPSE index is above both 5 days EMA and 20 days EMA. Values above moving average signals for bullishness. The golden cross signal was generated by moving average on the 18th of October 2020.

Relative Strength Index:

Relative Strength Index is a momentum oscillator that measures between zero and 100. Currently, the Relative Strength Index is at 73.32 level. Traditionally the RSI is considered overbought when above 70 and oversold when below 30. A bearish divergence is seen in RSI as the index is making higher highs but RSI is making lower highs.

Moving Average Convergence and Divergence:

MACD line (blue) and the signal line (red line) are in the Positive zone.  A histogram is also in the positive zone. The signal line has crossed the MACD line and the Signal line rises above the MACD line, this indicates a possibility of the start of a bearish signal, which suggests that the Nepse index is likely to experience 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

100% - 1888

1.272% - 2108

1.618% - 2383

2.618% - 3179


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

Pivot Point- 2453 point

1st Resistance- 2540 point               1st Support- 2387 point

2nd Resistance- 2660 point               2nd Support- 2300 point

3rd Resistance- 2682 point               3rd Support- 2223 point

Conclusion:  All major indicators are supporting the market to experience down momentum.

Listing of the week:


Weekly Market Summary of NEPSE:

More than 8.56 crore unit shares worth Rs 41.68 Arba has been traded through 4.00 lakh transactions this week. The current market capitalization of NEPSE stands at Rs. 3,334,063.34 Million.

Sector-wise breakdown of the turnover of this week:

The commercial bank's sector made 25.21% of the total turnover this week followed by the Non-Life Insurance sector with 18.50% 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 2.06% this week. The top gainer sector of this week is the Others sector with a rise of 4.80%.

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

Mahila Sahayatra Laghubitta Bittiya Sanstha Limited (MSMBS) has the highest monthly Beta value of 3.67 followed by Multipurpose Finance Company Limited ( MPFL ) and Pokhara Finance Limited ( PFL ) with 3.31 and 2.72 beta value respectively.

Top Ten Gainers of the week:  

Janautthan Samudayic Laghubitta Bittiya Sanstha Limited ( JSLBB ) is the top gainer of this week. Corporate Janautthan Samudayic closed at Rs 3745 with Rs 1000 (36.43%) increment.

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


Top Ten Losers of the week:

Gurkhas Finance Limited (GUFL) price has decreased by 15.22% and its LTP stands at Rs 390.

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

Nepal Reinsurance Company Limited (NIIC) is the top traded company of the week. A total of Rs 2.01 Arba worth of NRIC 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 2.47 Arba.

Top Buyer Brokers Top 10 Bought Companies:

Top Seller Broker of the Week:

Imperial Securities Co.Pvt.Limited (Broker No- 45) is the top seller broker for this week. The brokerage firm has sold stocks worth Rs 2.42 Arba.

Top Seller Brokers Top 10 Sold Companies:

Top 10 Companies with the Highest Market Capitalizations:

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:

Rage of Retail Investors Hurt the Wall Street Giants Big: The Actual Face of the GameStop Battle

Gold Loses Rs. 900 Per Tola Today; Silver Follows Suit

Aarambha Chautari Laghubitta appoints Mr. Kiran Kafle as DY. CEO; brings 24 years of rich work experience to his new role

IPO Share Listing Update: When Can I Buy and Sell Shares of Chandragiri Hills Limited and NIFRA?

Things to know for prospective investors about IPO of Green Life Hydropower Limited; high chance of lottery for 10 units

Nepal Infrastructure Bank reports decline in net profit in Q2; Company recently issued an IPO worth Rs. 8 Arba

Esewa to facilitate digital payment of penalty amount for violating traffic rules; people no longer need to loiter around police stations and banks as punishment

Nepal Bank signs agreement with Agantuk Resort in Banepa; MoU to enable bank’s customers and employees to receive discount of 15% for resorts’ hospitality services

Do I Buy, Sell, or Hold on a Red Day?

New platform mukundo comes in Nepalese e-commerce scene; commits to provide quality goods with free delivery

Look at top investment preferences for mutual fund schemes in the month of Poush; Which mutual fund NAV rises most?

Mahila Laghubitta issuing 4 lakh units IPO share to general public from Magh 28; high chance of lottery for 10 units

NIC ASIA Laghubitta welcomes Ms. Sanju Adhikari as new BoD; brings rich experience of CA in different BFIs to her new role

Application ongoing for Startup Idea Call 2021; stakeholders and business leaders urge youths to apply to get free training and cheapest ever credit facility

Cogent Health and Esewa takes Alka Hospital onboard in their e-appointment system; no need for patients now to visit the hospital just for sake of getting appointment

BBC and RBCL Won't Trade in NEPSE From Tomorrow; This is Why

Commercial Banks and Their Profitability in Second Quarter: A Comparison

The Case of GameStop: A Battle Between Retail Investors and Professional Hedge Funds (So-Called Elites) of Wall Street

Story of LTCM: The Nobel Prize-Winning “Geniuses” Who Lost $4 Billion and Almost Caused a Global Financial Meltdown