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Monday, December 4, 2017

NSE All Share Index Outlook for December, 2017 - Technical Perspective

The NSE All-Share Index  and Market Capitalization appreciated by 1.55% and 1.58% to close the last trading week in November 2017 at 37,944.60 and N13.215 trillion respectively. While the month of November has a 3.45% appreciation in the index and YtD now stands at 41.19% in the green


Trend Analysis

Monthly Trend Analysis of the NSE ASI showed a gradual pick in bullish momentum as the index is currently trending towards key resistance of 38,248 while also trading above Simple Moving Average 100. The index is trading above the SMA 100 which indicates a bullish sentiment

Volume traded in the month was strongly up by 74% relative to previous month of October, 2017.  
Oscillator indicator –Stochastic RSI currently trading at 78/72 levels
 
Source: Amibroker -  Monthly Chart
 
 
 
 
Daily Chart

Why is December 2017 important:
For the past 4 Decembers (2013 - 2016) we witnessed the All Share Index appreciate despite the bearish sentiment seen in those years. Year 2017 s a remarkable one as we have thus far seen a bullish trend in the market with the index at 41% positive.

Technically, the 2017 bullish trend is lilekly to continue into the month of December. A strong rally upward is expected.

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