Sellers outfox buyers as market falters

Sellers outfox buyers as market falters

Vientiane: Lao stocks were scarce for EDL-Gen yesterday as sellers took to the high ground deneying foxing buyers trades at lower matching prices.

The lack of large quanties in big parcels for BCEL could be an underlying factor hindering their trading and share price. The price is certainly good value ripe for the picking by the larger institutional and foreign investors. The Lao LSX market has been noticably improving, as a sellers market, when compared to last month and it still has a week to add to this months trading figures for March. Fridays trades stalled yesterday when sellers obviously held out for higher prices. For Q1 2012 the turnover and volumes have been lower than the Q4 2011 mainly due to price resistance for both stocks, which have strengthened noticeably in the past 2 weeks.

Another good sign for the index is the Index has all month traded above the 20 and 90 day moving average lines.

LSX Friday: Preempting the volumes and the price is always difficult as illustrated yesterday when only 1,117 scarce BCEL shares cross matched in trades in the first 2 sessions for just 7.37 million kip, which looked very much like spoiling an otherwise very strong volumes trading week.

Things then stalled as traders took a long coffee break when no further trades occurring past the half way mark.

By the close 4.5 K shares appeared pushing BCEL was down as it lost 100 kip (1.52 percent) to close at 6,500 kip.

EDL-Gen finished an excellent week of gains (+2 percent) when it firmed and gained 50 kip to close at 4,700 kip a price last revisted on Sept-14 last year. The technical moving average lines say it's a good time to acquire both stocks. Consult your broker.

vientiane times