The All Share Index dropped by 1.71% in the past week to settle the year to date return in negative territory at -1.61%.There were twenty-seven (27) gainers and forty-three (43) losers, which pegged market breadth 0.63x.
Market activity was tilted to the sell-side, with the All Share Index settling lower on four out of the five sessions in the week. Profit taking on many counters drove prices lower to, or near their lowest levels.
Many counters in the market will open at relatively low prices this week and this should stimulate buying pressure in the market, especially on some of the heavily weighted banking stocks. We also expect positive earnings expectations to improve sentiment in the market, especially for tickers with a history of interim distribution.
However, we expect further sell-offs in the market to outweigh the gains due to these factors. Hence, we expect the market to settle lower this week.