DexterousOne:



@Northeastern @nna777 and others
Please I have this question that keeps bugging me for the couple of years I have been in this market


Why are we too exposed to the foreign investors (FPIs) such that when they start pulling out, the NSE feels the heat?


Is it that this country is not rich enough to have more and bigger institutional investors? And individuals of course
Or is it that the general interest is just not there among Nigerians?


Just thinking out loud

I think we should find a way to reverse this reality

FPI are big players in the market and they all appear to use same screeners to decide when to enter or exit. The quantum of money they flow-in or flow-out at same time is such that it must have an impact on the market. Also note that there are local funds invested in the market that track the actions of these FPIs and do likewise. I believe machine trading is still minimal here but may grow not too long from now and this will worsen the impact of the mass action.

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in future.

I believe a new era will be birthed after this.

Good to be back right after this post!

longest time man, I am happy to see you are still here sharing the Gospel of finance!

Hope you all are holding steady? E no easy I understand, but the rainbows will come, time will tell!

TLAX:


FPI are big players in the market and they all appear to use same screeners to decide when to enter or exit. The quantum of money they flow-in or flow-out at same time is such that it must have an impact on the market. Also note that there are local funds invested in the market that track the actions of these FPIs and do likewise. I believe machine trading is still minimal here but may grow not too long from now and this will worsen the impact of the mass action.

What we see on NSE isn't loss na?

In one EM stock I watch, I saw 47% in 1 day. Fear catch me. Here it is just 10% cap.

GonFreecss1:


Good to be back right after this post!

longest time man, I am happy to see you are still here sharing the Gospel of finance!

Hope you all are holding steady? E no easy I understand, but the rainbows will come, time will tell!

Welcome back bro.

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in future.

I believe a new era will be birthed after this.

Thank you, I like this your point. I think it has been the reason Elon Musk has been gyrating. They really want to phase out fossil use.

DexterousOne:



@Northeastern @nna777 and others
Please I have this question that keeps bugging me for the couple of years I have been in this market


Why are we too exposed to the foreign investors (FPIs) such that when they start pulling out, the NSE feels the

@Rabbi & @TLAX have answered. I couldn't have said it any better.

nna777:


Am not in anyway discrediting you. In stock markets, buying and selling goes on simultaneously, so when it's green, it means there is more buying than selling and when it's red, it's the opposite. so if it still tanks on Monday, that means selling off is still taking place.

Peace bro...I know you are not discrediting me. We all have different ways of analysing things.

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in future.

I believe a new era will be birthed after this.

You are absolutely right. But the major bug will be China. they have decided to ramp up their coal production to 80%. I believe it will be gradual starting from WFH to online schooling etc before electric.

RabbiDoracle:


Do you think it is all Nigerians that have bank accounts?

Then imagine trading stocks. Someone who is scared of owning a bank account avd depositing money cannot buy bank stocks.

I don't think there is any country that prevents foreigners from investing in their stock markets. So if they want to bring money to buy your stocks, will you say no.

The only thing you can do is to enact laws that would make them pay if they are exiting early. Some countries have higher Capital Gain Tax (CGT) if you hold less than 1 year. Some give lower CGT if you hold longer 2 years, 5 years etc.

I'm not advocating for the bolded.
All I'm saying is that is there a way we can reduce the effect their pulling out en masse have on us.

Maybe the FG stepping in to buy them up

Or at least reduce the percentage of FPI by increasing local participation
We need big local institutional investors as well

Just saying

CashDiMkpa:


Nigeria is still at growth phase. I think it is still gathering momentum but from number of reported case, there was no new case in Lagos.

True but am talking purely from a stock trading end. Those over $7T dollar global stimulus package that was announced last week, some of them will find their way to our market to buy our currently cheap assets.

Just like Rabbi said in one of his posts, it will purely be liquidity driven. the underlying issues are still on ground (post global economic recovery). so when the time comes and the inflow begins, we will ride it and cash out just like what happened in January.

nna777:


True but am talking purely from a stock trading end. Those over $7T dollar global stimulus package that was announced last week, some of them will find their way to our market to buy our currently cheap assets.

Just like Rabbi said in one of his posts, it will purely be liquidity driven. the underlying issues are still on ground (post global economic recovery). so when the time comes and the inflow begins, we will ride it and cash out just like what happened in January.

@bolded is very correct. Infact, the rate of infections may not have peaked before the cash starts rolling in. The hunt for yield is a great motivator regardless of uncertainty. Most can tell that the real risk in the market in currency.

There is absolutely no way things will go back to pre-covid. The test run has worked.

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in future.

I believe a new era will be birthed after this.

thesilentone:
There is absolutely no way things will go back to pre-covid. The test run has worked.

Let's see how it goes really

But I believe that an unorthodox economic philosophy will emerge, just like how the Keynesian policy became mainstream in the wake of Depression, which btw was unthinkable just 50 years before

DexterousOne:


Let's see how it goes really

But I believe that an unorthodox economic philosophy will emerge, just like how the Keynesian policy became mainstream in the wake of Depression, which btw was unthinkable just 50 years before

Many have long suggested that WFH is viable for quite a number of roles (not all, obviously). The cost cutting/saving measures for organisations will be significant with people working from home. Now, that's a simplistic view when you consider all other factors such as data security, the need to socialise (social beings), the need for a structured routine (9-5 kind) etc. However, this pandemic has showed us, and continues to, prove to us that it is very possible to change the global outlook.
We wait to see which direction we are nudged into when it goes away.

RabbiDoracle:
What will move Brent this April?

There is a powerful positive divergence. A wicked one!

Will Saudi - Russia tussle be resolved?

I see brightly on the 4H chart. I'm paying attention to this positive divergence now. Lets see what the market says this week.

Merci.

This sit at home/digital trading is full of indecisions.
Stocks stay dormant,no movement for longer time.This week is another full week of digital trading.Lets see if there will be changes.

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in future.

I believe a new era will be birthed after this.

I like you already!

nna777:


True but am talking purely from a stock trading end. Those over $7T dollar global stimulus package that was announced last week, some of them will find their way to our market to buy our currently cheap assets.

Just like Rabbi said in one of his posts, it will purely be liquidity driven. the underlying issues are still on ground (post global economic recovery). so when the time comes and the inflow begins, we will ride it and cash out just like what happened in January.

It is expected to reach $15trn.

Nwanne, just set your trap. Elephant is coming.

RabbiDoracle:


It is expected to reach $15trn.

Nwanne, just set your trap. Elephant is coming.

Sure man

Set big traps oh

The elephant will smash the small ones into pieces

RabbiDoracle:


Russia and Saudi can't hold out for long. Their economies will definitely enter into recession and the world is flooded with oil. It is only a matter of time, all storage vessels around the world will be filled up and countries will start to shut in well. They are both feeling the heat.

You see Brent, it will hit above 80. But the next fall of Brent again will be $5. That is when the electric revolution will start. This event, this period, looks like a pilot test of : Work From Home (WFH), online schooling, world without traffic, electric vehicles, online shopping, green earth. Greta Thunberg will be so excited.

Are you noticing something? NASA keeps reporting air pollution reduction in all major cities that are having lockdown. Though this is to tell you that factories are closed and manufacturing isn't going on. But to me it is telling me that it is a pilot test for something to come in the future.

I believe a new era will be birthed after this.

Saudi can sustain that price for the next decade, there is a Forbes or WSJ report that backs that position. I don't expect prices to stay at this level post C-19 effect, without Saudi budging, prices would be between 30 and 40 box.

On prices trending to 80 box, what are you waiting for? You get forex account na, your downside is $25,000 if you entered at $25 on a standard lot of $10. Your profit will be $55,000 when you cash out at $80. Multiply it by 10 if you have $250k to play with.

I don give you free business idea.

thebargainhunte:
https://www.vanguardngr.com/2020/03/breaking-buhari-declares-curfew-in-lagos-abuja-and-ogun/amp/

Assuming there is bull in this week,how will investors who want to buy shares pay to their brokers if they don't have online access?

Market may use this opportunity to do some ojoro.

NSE might go offline with this lockdown.

This is bad news

locodemy:


Assuming there is bull in this week,how will investors who want to buy shares pay to their brokers if they don't have online access?

Market may use this opportunity to do some ojoro.

Market might not open.

They're not exempted from lock down

[quote author=locodemy post=87901060]

Assuming there is bull in this week,how will investors who want to buy shares pay to their brokers if they don't have online access?

Market may use this opportunity to do some ojoro.[/quote]

Tori don become worwor be that.

This might trigger selloff tomorrow. People might be needing their money for the 14 days holidays. Let's see how tomorrow goes.

Why? good news. bah

OBAGADAFFI:
NSE might go offline with this lockdown.

This is bad news

sellydion:
Why? good news. bah

Bad news.

If NSE is closed for two weeks, economic recovery will be very see slow.

Note: We are approaching Recession.

OBAGADAFFI:


Market might not open.

They're not exempted from lock down

Market will open.
These things have already been taken into consideration. ...that's why the exchange went into REMOTE TRADING.
Trading floor was already closed before now.(since Wed, 25th March)

Pls do well to be guided accordingly.

OBAGADAFFI:


Bad news.

If NSE is closed for two weeks, economic recovery will be very see slow.

Note: We are approaching Recession.

There is no bad news my dear !!
The NSE and by extension CMOs were already prepared for this scenario.
...which was why remote trading via its electronic platforms was introduced last week.

Selah

Dear Only the living trade or invest. Good news.

Somehow , trading could still be done online.

Noting passes saving of lives.
Bad news.

If NSE is closed for two weeks, economic recovery will be very see slow.

Note: We are approaching Recession.[/quote]

Dear Only the living trade or invest. Good news.

Somehow , trading could still be done online.

Noting passes saving of lives.


Bad news.

If NSE is closed for two weeks, economic recovery will be very see slow.

Note: We are approaching Recession.[/quote]