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Empowering investors and traders in Nepal with simplified stock market insights. Discover trends, analysis, and reports to make informed financial decisions.
This week, the NEPSE index exhibited notable market movements, closing at 2682.29 with a significant loss of -1.92%, compared to the previous week’s decline of -0.48%. The total trading volume dropped sharply from NPR 45.396B to NPR 28.698B, indicating reduced market activity and cautious investor sentiment.
In this detailed report, we analyze the NEPSE performance including top gainers and losers, sectoral trends, liquidity analysis, and a forecast for the upcoming week.
Let’s dive into the insights that can guide your investment strategies.
Overview of NEPSE Performance This Week
The NEPSE index closed at 2682.29, declining by -1.92% compared to the previous week. This marks the decrease for the 2nd consecutive week.
Key Statistics:
- Opening Index: 2735.65
- Closing Index: 2682.29
- Weekly Change: -52.64, -1.92%
- Total Turnover: NPR 28.698B
Top Gainers and Losers (08 Dec – 12 Dec 2024)
Top Gainers:
| Stock Name | Price Change (%) |
|---|---|
| KBSH | +13.68% |
| NYADI | +13.52% |
| NABBC | +13.49% |
Top Losers:
| Stock Name | Price Change (%) |
|---|---|
| KKHC | -15.18% |
| LICN | −12.18% |
| SMFBS | -10.76% |
Sectoral Breakdown: Performance Highlights
This week saw varied performances across sectors. Below is an analysis of sector-wise trends:
Best-Performing Sectors:
- Manufacturing and processing index: Experienced a growth of +2.36%.
Underperforming Sectors:
- Hotels And Tourism: Declined by -1.52%.
Volume and Liquidity Analysis
- Total Trading Volume: NPR 53,184,383, showing a drop of approximately -36.25% compared to last week.
- Most-Traded Stocks:
- NRN: NPR 1063.940M
- JFL: NPR 963.346M
- RFPL: NPR 625.109M
Key Observations:
- Liquidity levels decreased, reflecting FOMO in the investors cautious the support trendline has broken out in the daily chart. but i thought we are at the perfect support level at 2684. see daily chart.
- The Hydro Power sector dominated turnover, contributing 48% to the total trading volume.
Major Events Impacting the NEPSE This Week
- Economic Data Releases: Trade and Balance of Payments: Nepal continues to maintain a balance of payments surplus due to increasing remittances, with trade deficits being reduced over recent periods
- Corporate Announcements: Many company declare a dividend for the Fiscal Year: 2080-208. such as HDL declare a Bonus Shares: 15% & Cash Dividend: 5% (including dividend tax). and Resignation of Director GUFL has been approved.
Technical Analysis of NEPSE Index
- Support Levels: NPR 2684.59.
- Resistance Levels: NPR 2860-2943.
- Moving Averages: The NEPSE index is currently trading at the 20WMA , indicating getting support.
What to Expect in the NEPSE Next Week?
Market Outlook:
Forecasting with the technical analysis. since we are in the support level as per daily chart we may try to break above resistance at level 2780. otherwise we will takeout the untapped FVG then bounce back to major resistance areas at 3050. see the technical chart daily and hourly.
Conclusion
This week, NEPSE saw a continued decline, closing at 2682.29 (-1.92%) amidst reduced liquidity and cautious investor sentiment. While the manufacturing sector performed well, other sectors struggled, and the market approached a key support level at 2684.
Heading into next week, traders should watch for a potential rebound above 2780 or further dips to untapped FVG levels, guided by technical indicators and upcoming corporate announcements.
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