NEPSE At the Highest Closing Ever; Weekly Summary with Technical Analysis, Company Performance, Main Events, and More

Fri, Jan 15, 2021 1:56 PM on Stock Market, Weekly Analysis, Featured,

-ShareSansar

This week NEPSE traded for four trading days. 94.69 points volatility was witnessed this week, with the market reaching the highest 2296.17 and the lowest 2201.48. NEPSE index gained 92.06 points (4.20%) in this trading week. Last Week market closed at 2194.48 points and this week closed at 2286.54 points on Thursday.

Candlestick pattern:

Three green candles and one red candle 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 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 76.51 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. The signal line has crossed the MACD line, this indicates a bullish signal. A histogram is also in the positive zone. Overall MACD is indicating upward 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

Turnover

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

Pivot Point- 2161 point

1^st Resistance- 2321 point 1^st Support- 2226 point

2^nd Resistance- 2356 point 2^nd Support- 2166 point

3^rd Resistance- 2403 point 3^rd Support- 2118 point

Conclusion: All major indicators are supporting a bullish trend. Strong support is at 2100 and resistance is at 2400.

Weekly Market Summary of NEPSE:

More than 5.54 crore unit shares of worth Rs 22.74 Arba has been traded through 2.01 lakh transactions this week. The current market capitalization of NEPSE stands at Rs. 3,079,963.06 Million.

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

The NEPSE index increased by 4.20% this week. The top gainer sector of this week is the Finance sector with a rise of 11.09%.

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

National Microfinance Laghubitta Bittiya Sanstha Limited (NMFBS) has the highest monthly Beta value of 1.71 followed by Upper Tamakoshi Hydropower Limited (UPPER) and Sanjen Jalabidhyut Company Limited (SJCL) with 1.69 and 1.52 beta value respectively.

Top Ten Gainers of the week:

Aarambha Chautari Laghubitta Bittiya Sanstha Limited (ACLBSL) is the top gainer of this week. Aarambha Chautari Laghubitta closed at Rs 1079 with Rs 341 (46.21%) increment.