Daily Technical Trader - Qatar March 02, 2016

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Daily Technical Trader – Qatar

Wednesday, 02 March 2016

Stocks Covered Today

Ticker Price Target

IQCD 106.00 110.00

UDCD 22.00 20.95

QSE Index

Level % Ch. Vol. (mn)

Last 9,969.25 0.78 8.4

Resistance/Support

Levels 1st

2nd

3rd

Resistance 10,000 10,250 10,350

Support 9,800 9,600 9,400

QSE Index Commentary

Overview:

Nothing has changed in the previous

session except getting closer to the 10,000

resistance level. We are waiting how this

penetration will play out, if it happens.

Expected Resistance Level: 10,000

Expected Support Level: 9,800

QSE Index (Daily)

Source: Bloomberg, QNBFS Research

QE Summary

Market Indicators 01 Mar 29 Feb %Ch.

Value Traded (QR mn) 606.3 404.8 49.8

Ex. Mkt. Cap. (QR bn) 530.5 525.7 0.9

Volume (mn) 13.3 10.1 32.1

Number of Trans. 5,196 6,466 -19.6

Companies Traded 41 40 2.5

Market Breadth 27:6 11:27 –

QE Indices

Market Indices Close 1D% RSI

Total Return 15,791.72 0.8 60.5

All Share Index 2,709.70 0.9 60.9

Banks 2,692.96 0.5 54.7

Industrials 3,001.68 0.9 60.6

Transportation 2,406.78 0.6 58.1

Real Estate 2,245.34 0.1 61.8

Insurance 4,434.42 5.1 62.0

Telecoms 1,070.68 0.0 63.6

Consumer Goods 6,250.12 1.9 72.0

Al Rayan Islamic 3,678.55 0.7 62.8

RSI 14 (Over Bought)

Ticker Close 1D% RSI

ZHCD 88.00 3.5 73.3

SIIS 12.80 0.7 70.5

QIGD 39.30 0.0 70.4

RSI 14 (Over Sold)

Ticker Close 1D% RSI

QSE Index (30min)



IQCD

Price % Ch. Volume

Last 106.00 1.15 261,229

Resistance/Support

Levels (QR) 1st

2nd

3rd

Resistance 106.50 110.00 112.00

Support 103.00 100.00 98.00

Commentary

Overview:

IQCD experienced a pullback and

stabilized above the QR103.00. The price

is going against tough resistance just

above the QR106.00. Thus, a breakaway

above that level could spark more

confidence in the momentum.

Expected Target Price: QR110.00 –

QR112.00

A breakaway above QR106.50 triggers the

buy recommendation.

Suggested Stop-Loss Price: QR103.00

(Daily)


(Hourly)



UDCD

Price % Ch. Volume

Last 22.00 0.69 330,151

Resistance/Support

Levels (QR) 1st

2nd

3rd

Resistance 22.25 22.75 23.00

Support 21.75 20.95 20.20

Commentary

Overview:

We sent out a buy recommendation on

UDCD on the 15th

of February. It reached

our second expected target at QR22.00.

Breaking above the QR22.25 could

continue the rally to QR22.75. That been

said, the name is showing some signs of

weakness, thus it is better to put our risk

measures in place.

Expected Price Retreat: QR20.95 –

QR20.20

A price breach below QR21.75 triggers the

sell recommendation.

(Daily)


(Hourly)



Intraday Fibonacci Support and Resistance Levels Daily Moving Averages Support Levels Resistance Levels

Ticker Close 3rd

2nd

1st

Pivot 1st

2nd

3rd

50 SMA 100 SMA 200 SMA

QSE Index 9,969.25 9,856.86 9,896.76 9,921.41 9,961.30 10,001.20 10,025.85 10,065.74 9,660.03 10,311.36 11,061.39

Total Return 15,791.72 15,613.69 15,676.89 15,715.94 15,779.13 15,842.33 15,881.38 15,944.57 15,054.31 16,047.13 17,202.49

All Share 2,709.70 2,678.21 2,689.19 2,695.97 2,706.95 2,717.93 2,724.71 2,735.69 2,578.57 2,749.23 2,951.02

Al Rayan Islamic 3,678.55 3,638.58 3,652.49 3,661.09 3,675.01 3,688.92 3,697.52 3,711.44 3,498.15 3,810.73 4,179.63

Banks & Financials Services

MARK 34.75 34.15 34.36 34.49 34.70 34.91 35.04 35.25 34.75 37.46 41.01

CBQK 42.60 42.20 42.43 42.57 42.80 43.03 43.17 43.40 42.30 46.49 51.05

DHBK 41.85 41.65 41.75 41.80 41.90 42.00 42.05 42.15 39.81 43.71 48.13

QIBK 97.00 95.07 95.79 96.24 96.97 97.69 98.14 98.87 96.17 106.29 107.88

QIIK 70.10 69.03 69.38 69.59 69.93 70.28 70.49 70.83 63.67 67.55 72.65

Insurance

QATI 83.90 77.57 79.40 80.53 82.37 84.20 85.33 87.17 74.26 77.78 82.99

Consumer Goods & Services

MCGS 109.80 98.00 101.78 104.12 107.90 111.68 114.02 117.80 100.01 123.17 149.61

Industrials

IQCD 106.00 104.60 105.10 105.40 105.90 106.40 106.70 107.20 102.19 108.03 120.96

QEWS 193.90 190.17 191.35 192.08 193.27 194.45 195.18 196.37 198.29 204.06 210.41

GISS 37.25 35.82 36.35 36.68 37.22 37.75 38.08 38.62 41.11 49.92 60.59

QIGD 39.30 N/A N/A N/A N/A N/A N/A N/A 32.33 37.27 43.72

Real Estate

BRES 36.90 36.63 36.77 36.85 36.98 37.12 37.20 37.33 35.41 39.08 43.64

UDCD 22.00 21.79 21.85 21.89 21.95 22.01 22.05 22.11 19.71 21.20 22.63

ERES 15.35 15.15 15.23 15.28 15.36 15.44 15.49 15.57 14.57 16.13 17.19

MRDS 11.79 N/A N/A N/A N/A N/A N/A N/A 12.38 13.99 15.85

Telecommunication

ORDS 89.00 87.93 88.39 88.67 89.13 89.59 89.87 90.33 78.80 76.35 79.12

VFQS 10.30 10.24 10.27 10.28 10.31 10.34 10.35 10.38 11.08 12.10 13.78

Transportation

QGTS 23.64 23.34 23.50 23.59 23.75 23.91 24.00 24.16 22.18 23.12 22.68

QNNS 95.60 94.53 94.92 95.15 95.53 95.92 96.15 96.53 91.54 94.34 95.99 Sources: Bloomberg, QNBFS Research; Note: Numbers in Italics denote moving averages that are above the given index level/stock price


Definitions:

Candlestick: A chart that displays the high, low, opening and closing prices for a security in a single period. The body of the candle is made up by the opening and

the closing prices, i.e., the taller the body the greater the range between these two prices and vice versa. A colored candle denotes a closing price that is lower

than the opening price, while a white candle shows the opposite. The candlestick's shadows or wicks show the period's high and low prices and how they

compare to the opening and closing price. In general, the shape of the candle will vary upon the positions of the period's high, low, opening and closing prices.

Support: A level that could cause more buyers to step in in order to prevent the security from falling or causing the security price to head higher.

Resistance: An inverse of a support level. A resistance area or level could cause more sellers to step in in order to prevent the security from rising or causing the

security price to head lower.

SMA (Simple Moving Average): Is an arithmetic average, which calculates the average price of a security over a defined number of periods and is thus considered

a lagging indicator. SMAs used in our analysis refer to closing prices. In general, SMAs serve many purposes, such as a smoothing tool, an indicative price

direction and potential support/resistance levels.

Market Breadth: Breadth indicates the number of securities that have closed higher vs. the number of decliners in a particular exchange.

MACD (Moving Average Convergence/Divergence): Is a trading indicator, which shows changes in the strength, direction, momentum and duration of a trend in

a stock's price through a collection of three time series calculated from historical closing price data.

RSI (Relative Strength Index): Is a momentum indicator that compares a security’s price gains to its losses for a predetermined number of periods (we generally

use 14 periods). The RSI attempts to point out how a security, in relative terms, is in the overbought/oversold zone. Securities with a RSI above 70 could be

considered as overbought, and below 30 could be considered as oversold.

Pattern/Formation: Is a graphical presentation of a security’s price activity over a certain period of time. Formations come in different shapes (such as, head &

shoulders, triangles, flags, and so on). They can be used to identify potential trends, reversal of trends, price targets, entry and exit points, etc.

Fibonacci Retracements: Are horizontal lines that indicate expected areas of support/resistance for a security based on a predetermined price movement. These

levels are usually indicated by Fibonacci ratios of 23.6%, 38.2%, 50.0%, 61.8% and 100% from that particular movement.

Fibonacci Pivot and Intra-day Support/Resistance: A Pivot Point is generally used to formulate expected future support/resistance levels. From the base Pivot

Point, Fibonacci multiples of the high-low differential are added to form resistance levels and subtracted to form support levels.


Contacts:

Zaid al-Nafoosi, CMT, CFTe Saugata Sarkar Shahan Keushgerian

Senior Research Analyst Head of Research Senior Research Analyst

Tel: (+974) 4476 6535 Tel: (+974) 4476 6534 Tel: (+974) 4476 6509

[email protected] [email protected] [email protected]

QNB Financial Services SPC

Contact Center: (+974) 4476 6666

PO Box 24025

Doha, Qatar

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Daily Technical Trader - Qatar March 02, 2016

Economy & Finance

Transcript of Daily Technical Trader - Qatar March 02, 2016