16-04-2018 – Weekly Stock Recommendation and Stocks to Watch

Last week’s trading was largely characterized by profit-taking on one hand and bargain hunting on the other, with the impact of the latter driving the week’s positive return. The market closed recorded a positive performance last week as the All Share Index settled higher to bring the YtD return to 7.02%. Market breadth pegged at 0.93x as thirty-eight (38) gainers and forty-one (41) losers emerged for the week.

We expect a continuation of mixed investor sentiment in the market this week, in line with the trend observed in recent weeks. We envisage movement in prices to be driven by new information which may be counter specific, like the lifting of the technical suspension on OANDO drove positive activity on the counter last week.

We also expect approaching dividend payment dates to shape trading activities this week as investors continue to take advantage of these opportunities.

In summary, we expect the market to trade sideways this week, albeit with an upside bias.